June 24, 2025

PDPA Compliance for HR Data

HR Compliance
Fabian Wong
Product & Growth Lead
PDPA Compliance for HR Data

Singapore's Personal Data Protection Act (PDPA) has significant implications for how HR departments collect, use, and store employee information. With the PDPC imposing fines of up to $1 million or 10% of annual turnover for serious breaches (Source: PDPA 2020 Amendments), and enforcement actions increasing by 48% since 2021, ensuring proper PDPA compliance for HR data is no longer optional—it's essential.

This guide breaks down Singapore's specific PDPA requirements for HR data management into straightforward, practical steps that any organization can implement, regardless of size or technical sophistication.

The PDPA Landscape for HR in Singapore

Current Regulatory Environment

Singapore's PDPA framework has evolved significantly since its introduction in 2012, with the most recent amendments in 2020 bringing substantial changes including:

  • Mandatory data breach notification requirements
  • Enhanced financial penalty framework
  • New data portability obligations
  • Expanded consent exceptions for legitimate interests and business improvement
  • Additional provisions for deemed consent

(Source: Personal Data Protection (Amendment) Act 2020, Government Gazette)

For HR departments, these changes directly impact how employee data must be managed throughout the employment lifecycle—from recruitment to post-employment record retention.

Key PDPA Principles for HR Data in Singapore

PDPA Principles in Singapore

Challenge observed:

A mid-sized Singapore logistics company collected comprehensive personal data from job applicants, including NRIC numbers, passport details, and family information during initial application stages. They stored this information indefinitely for all applicants, including unsuccessful ones. During a PDPC investigation triggered by a complaint, they received a $15,000 financial penalty for excessive collection and inappropriate retention of personal data. (Source: PDPC Enforcement Case #2022-03, anonymized)

Key insights:

Singapore's PDPA imposes specific obligations that apply directly to HR functions:

  • Consent Obligation: Obtaining appropriate consent before collecting, using, or disclosing personal data
  • Purpose Limitation: Collecting data only for reasonable purposes that have been notified to employees
  • Notification Obligation: Informing employees about the purposes for collecting their personal data
  • Access and Correction: Providing employees access to their personal data upon request
  • Protection Obligation: Implementing reasonable security measures to protect personal data
  • Accuracy Obligation: Ensuring personal data is accurate and complete
  • Retention Limitation: Retaining personal data only as long as necessary for legal or business purposes
  • Transfer Limitation: Restricting overseas transfers of personal data

(Source: PDPC Advisory Guidelines for the Employment Sector, 2021)

Practical solutions:

Implement these foundational PDPA measures:

  • Develop clear privacy policies specifically for employees and job applicants
  • Create documented consent mechanisms for different types of HR data
  • Establish data retention schedules aligned with statutory requirements
  • Implement secure access controls for HR information systems
  • Train HR staff on PDPA obligations and breach response procedures

PDPA Compliance Across the Employee Lifecycle

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PDPA Compliance Singapore

1. Recruitment and Selection

Challenge observed:

A Singapore financial institution routinely collected candidates' financial information, family details, and full medical history during initial job applications, far exceeding what was necessary for preliminary screening. A candidate reported this to the PDPC, resulting in enforcement action. (Source: PDPC Case Database 2023, case details anonymized)

Key insights:

Recruitment processes must balance thorough candidate evaluation with data minimization principles:

  • Only necessary information should be collected at each recruitment stage
  • Different consent requirements apply for unsuccessful versus successful candidates
  • Background check and reference verification have specific PDPA considerations
  • Recruitment platforms and ATS systems must fulfill protection obligations

Practical solutions:

  • Job Applications: Collect only essential information for initial screening (qualifications, experience, contact details)
  • Progressive Data Collection: Request additional personal data only as candidates advance through stages
  • Consent Management: Use clear statements explaining how application data will be used
  • Data Retention: Establish separate retention periods for successful (longer) versus unsuccessful (shorter) candidates
  • Third-Party Recruiters: Include PDPA compliance requirements in recruitment agency contracts
  • Notifications: Explicitly inform candidates when and why you conduct background and reference checks

2. Onboarding and Employment

Challenge observed:

A retail company in Singapore used a cloud-based HRMS without proper data access controls, allowing all HR staff unrestricted access to employee salary, performance, and medical information. An internal complaint about inappropriate data access led to a review by the PDPC. (Source: PDPC Advisory Guidelines, Case Illustration 11-C)

Key insights:

Ongoing employment generates significant personal data requiring structured management:

  • Employee consent is often covered under the "contractual necessity" exception but has limits
  • Different types of HR data require different levels of protection
  • Access controls should reflect sensitivity of different personal data categories
  • Special provisions apply to collection of NRIC numbers and copies

(Source: PDPC Guide to Basic Data Protection Practices for SMEs, 2023)

Practical solutions:

  • Employee Privacy Notice: Provide comprehensive information about all data processing activities
  • Consent Management: Obtain explicit consent for processing that exceeds contractual necessity (e.g., photos on corporate websites)
  • Data Classification: Categorize HR data by sensitivity and apply appropriate controls
  • Access Controls: Implement role-based access to HR systems based on "need-to-know" principles
  • NRIC Handling: Collect NRIC numbers only where required by law or for verification processes (Source: PDPC Advisory Guidelines on NRIC Numbers, 2022)
  • Medical Information: Implement enhanced security for health-related data
  • Emergency Contacts: Inform employees of their responsibility to obtain consent from their emergency contacts

3. Performance Management and Disciplinary Processes

Challenge observed:

A professional services firm in Singapore stored performance evaluations, complaint records, and disciplinary notes in unsecured shared drives accessible to department heads across the organization. During an employment dispute, the improper disclosure of this sensitive information complicated the case and led to PDPA compliance issues. (Source: Singapore HR Institute Case Analysis, 2023)

Key insights:

Performance and disciplinary data are particularly sensitive categories requiring careful handling:

  • Performance records contain subjective assessments constituting personal data
  • Disciplinary information requires enhanced protection and limited access
  • Employee monitoring activities have specific consent and notification requirements
  • Data created during investigations must be handled with appropriate confidentiality

(Source: PDPC Guide on Managing Data Breaches, 2.0, 2022)

Practical solutions:

  • Access Restrictions: Limit access to performance and disciplinary records to relevant managers and HR personnel
  • Employee Monitoring: Clearly notify employees of any workplace monitoring systems and purposes
  • Investigation Protocols: Establish clear procedures for handling personal data during workplace investigations
  • Documentation Standards: Create guidelines for documenting performance issues to prevent excessive collection
  • Retention Periods: Define specific retention periods for different types of performance and disciplinary records

4. Employee Benefits and Payroll

Challenge observed:

An SME outsourced payroll processing and employee benefits administration without proper data processing agreements. The vendor experienced a data breach affecting employee financial and dependent information, creating uncertainty about breach notification responsibilities and liability. (Source: PDPC Incident Register Report Summary, 2023)

Key insights:

Payroll and benefits administration involve particularly sensitive financial and family data:

  • Data processing and transfer to third parties (insurers, banks) require specific consent
  • Dependent and family member information is subject to PDPA requirements
  • Cross-border payroll processing has additional transfer limitation considerations
  • Benefits enrollment often involves health information requiring enhanced protection

(Source: PDPC Guide on Data Protection Clauses for Agreements Relating to the Processing of Personal Data, 2021)

Practical solutions:

  • Vendor Management: Implement data processing agreements with all HR service providers
  • Dependent Data: Require employees to obtain consent from family members listed as dependents or beneficiaries
  • Third-Party Transfers: Document all data flows to benefits providers, banks, and government agencies
  • Cross-Border Processing: Ensure proper safeguards for overseas payroll processing
  • Data Minimization: Review benefits enrollment forms to eliminate unnecessary personal information collection

5. Termination and Post-Employment

Challenge observed:

A Singapore technology company maintained complete personnel files including performance reviews, salary history, and medical records for all former employees indefinitely. A data subject access request from a former employee revealed this practice, leading to PDPC scrutiny. (Source: PDPC Enforcement Decision Digest, Q1 2023)

Key insights:

Post-employment data handling presents specific compliance challenges:

  • Different types of employment records have different statutory retention requirements
  • Retention should be limited to what's necessary for business purposes or legal obligations
  • Former employee data should be subjected to progressive archiving and deletion
  • References for former employees must be handled in line with PDPA requirements

Practical solutions:

  • Retention Schedule: Create a detailed retention schedule specifying how long different types of records should be kept:
    • CPF-related records: 7 years (Source: CPF Act, Section 91)
    • Employment and salary records: 2 years after employment ends (Source: Employment Act, Section 95)
    • IRAS-related payroll records: 5 years (Source: Income Tax Act, Section 67)
    • Work injury compensation records: 3 years after incident (Source: WICA Regulations)
    • Medical records: 3 years from employee's date of taking leave (Source: Employment Act Regulations)
  • Employment References: Obtain consent before providing detailed references about former employees
  • Data Minimization: Regularly review and purge unnecessary personal data of former employees
  • Access Restrictions: Implement access controls for former employee records

Practical PDPA Implementation for Singapore HR Teams

1. Data Mapping and Inventory

Before effective PDPA compliance can be achieved, HR departments must understand their data landscape:

  • Document all categories of employee personal data collected
  • Identify all systems, applications and physical locations where HR data is stored
  • Map data flows between systems and to third parties
  • Classify data by sensitivity and applicable retention requirements

Implementation tip: Create a simple data inventory spreadsheet listing all HR data types, their purpose, location, access controls, retention period, and legal basis for processing.

(Source: PDPC Guide to Data Protection Impact Assessments, 2021)

2. Essential Documentation and Policies

Challenge observed:

During a PDPC audit, a Singapore hospitality company could not produce any formal HR data protection policies or evidence of employee privacy notices, despite collecting extensive personal data including biometric information for attendance tracking. (Source: PDPC Active Enforcement Case Summary 2023-07)

Key insights:

Proper documentation is essential both for compliance and as evidence during PDPC investigations:

  • Privacy notices should be tailored specifically for employees and candidates
  • Policies should reflect actual practices and be regularly reviewed
  • Documentation serves as evidence of compliance during PDPC investigations

(Source: PDPC Guide to Developing a Data Protection Management Programme, 2021)

Practical solutions:

Develop these essential PDPA documents:

  • Employee Privacy Notice: Comprehensive explanation of all HR data processing
  • Job Applicant Privacy Notice: Modified notice specifically for candidates
  • Data Protection Policy: Internal policy for handling employee data
  • Data Breach Response Plan: Procedures for handling potential data incidents
  • PDPA Training Materials: Resources for ongoing HR team education
  • Consent Forms: Templates for situations requiring explicit consent

3. Technical and Organizational Measures

Singapore's PDPA requires "reasonable security arrangements" proportionate to the sensitivity of data:

  • Access Controls: Implement role-based access for HR systems
  • Encryption: Apply encryption for sensitive HR data in transit and at rest
  • Audit Trails: Maintain logs of access to HR information systems
  • Mobile Device Management: Control HR data access on personal devices
  • Physical Security: Secure physical HR documents in locked cabinets
  • Clean Desk Policy: Implement guidelines for handling physical HR documents

Implementation tip: Conduct an annual security assessment of HR data handling practices using the PDPC's Data Protection Impact Assessment tool.

(Source: PDPC Guide to Data Protection Practices for ICT Systems, 2021)

4. Managing Special Categories of HR Data

Certain types of personal data require enhanced protection under Singapore's PDPA:

NRIC Numbers and Copies

The Advisory Guidelines on the PDPA for NRIC and Other National Identification Numbers specifically restrict collection of NRIC numbers:

  • Collect NRIC numbers only when required by law or necessary for precise verification
  • Explore alternatives like partial NRIC numbers or organization-issued identifiers
  • Implement additional security measures when storing NRIC data

(Source: PDPC Advisory Guidelines on the PDPA for NRIC and Other National Identification Numbers, 2022 update)

Medical Information

Employee medical data is considered sensitive and requires additional safeguards:

  • Limit collection to what's required for statutory compliance or contractual benefits
  • Store medical certificates and health information with enhanced security
  • Implement strict access controls for health-related personal data

(Source: PDPC Sectoral Guide for the Healthcare Sector, 2022)

Biometric Data

Fingerprints, facial recognition and other biometric data used for time tracking or access control require:

  • Clear notification of purpose and alternatives where possible
  • Enhanced security measures for storage and processing
  • Specific consent mechanisms unless exceptions apply

(Source: PDPC Guide on Basic Data Protection Practices for SMEs, Section 4.2, 2023)

5. Data Breach Management

The mandatory data breach notification requirements are particularly relevant for HR data:

  • Assess if a breach is notifiable (affects more than 500 individuals or likely to cause harm)
  • Notify PDPC within 3 calendar days of determining a breach is notifiable
  • Maintain internal breach register for all incidents, even non-notifiable ones
  • Conduct post-breach reviews to prevent recurrence

Implementation tip: Create a simple breach response flowchart for HR teams with clear escalation paths and response timeframes.

(Source: PDPC Guide on Managing and Notifying Data Breaches, 2021)

Practical PDPA Compliance Checklist for HR Teams

Immediate Implementation Items:

  1. □ Develop employee and job applicant privacy notices
  2. □ Review HR forms to eliminate unnecessary data collection
  3. □ Implement access controls for sensitive HR information
  4. □ Create data retention schedule for employee records
  5. □ Establish process for handling employee data access requests
  6. □ Review contracts with HR service providers for PDPA compliance
  7. □ Train HR staff on basic PDPA requirements

Medium-Term Implementation (3-6 months):

  1. □ Conduct comprehensive HR data mapping
  2. □ Develop detailed data protection policy
  3. □ Implement technical safeguards for sensitive HR data
  4. □ Create data breach response plan
  5. □ Establish procedures for data protection impact assessments
  6. □ Review overseas data transfers for compliance
  7. □ Implement progressive data archiving processes

Long-Term Compliance Strategy:

  1. □ Integrate PDPA compliance into HR system selection
  2. □ Conduct regular compliance audits
  3. □ Update policies based on PDPC developments
  4. □ Implement privacy by design in HR processes
  5. □ Develop metrics to measure PDPA compliance effectiveness

(Source: Adapted from PDPC's Data Protection Starter Kit, 2022)

Common PDPA Pitfalls for Singapore HR Departments

Challenge observed:

A multinational corporation's Singapore office implemented global HR policies without localizing for PDPA requirements. Their global approach to data retention, consent, and breach notification was inconsistent with Singapore's specific regulations, creating compliance gaps only discovered during a PDPC investigation. (Source: Singapore Business Federation HR Best Practices Survey, 2023)

Key insights:

Even well-resourced organizations commonly make these PDPA mistakes:

  • Treating PDPA compliance as a one-time project rather than ongoing process
  • Collecting excessive personal data "just in case" it might be needed
  • Retaining employee data indefinitely without clear retention policies
  • Failing to distinguish between different types of HR data for security purposes
  • Overlooking the need for data processing agreements with HR vendors
  • Applying global privacy standards without Singapore-specific adaptations

(Source: PDPC Industry Readiness Report on Data Protection Practices, 2023)

Practical solutions:

Address these common pitfalls through:

  • Regular review of HR data collection practices against minimization principles
  • Development of clear retention schedules with automated deletion where possible
  • Implementation of data protection impact assessments for new HR processes
  • Regular training refreshers for HR team members
  • Localization of global privacy policies to address specific PDPA requirements

Conclusion: A Balanced Approach to PDPA Compliance

For HR departments in Singapore, PDPA compliance need not be overwhelming or disruptive to effective people management. By implementing a pragmatic, risk-based approach focused on these core principles, organizations can meet their compliance obligations while maintaining efficient HR operations:

  • Collect only what's necessary for clearly defined purposes
  • Be transparent with employees about how their data is used
  • Implement security measures proportionate to data sensitivity
  • Retain information only as long as legally required or genuinely needed
  • Respond promptly to access and correction requests
  • Prepare for potential data breaches before they occur

With careful planning and ongoing attention, PDPA compliance becomes not just a legal requirement but a demonstration of respect for employee privacy that strengthens trust and enhances your employer brand.

For assistance developing PDPA-compliant HR policies and processes tailored to your organization's specific needs, contact Kelick's HR Technology specialists.

This guide provides general information about PDPA compliance for HR data in Singapore. While every effort has been made to ensure accuracy, data protection regulations continue to evolve, and organizations should consult with legal professionals when developing compliance frameworks.