Associations
MBAWC ADVISES ON POPI ACT
IMPLICATIONS FOR CONSTRUCTION INDUSTRY
The Act has been promulgated to protect individuals and businesses from the misuse and abuse of personal information , for example , in financial fraud and identity theft .
The Protection of Personal Information Act ( POPIA ) 4 of
2013 came into effect on 1 July 2021 . Companies are now legally obliged to protect the privacy of the information and data they gather .
Danie Hattingh , past president and executive committee member of the Master Builders ’ Association Western Cape ( MBAWC ), and principal officer of the pension fund at the Building Industry Bargaining Council , explains how the POPI Act will affect the construction industry .
Hattingh says , “ The POPI Act will impact all businesses , regardless of their nature or size . Those in the construction industry , which is one of the leading employment providers and economic contributors , will need to ensure that they are compliant to avoid data breaches and reputational harm .”
The first step employers can take to safeguard against liability in terms of POPIA is to ensure that their employees ’ consent is obtained , and that the processing of their personal information is done for a specific purpose .
In addition to obtaining consent , Hattingh mentions that it is imperative for employees to know what their personal information will be used for . The Act further requires that organisations justify why they are holding personal information .
This measure forces employers to assess what information it gathers , be it from employees , clients , service providers or other third parties , and helps determine whether the information gathered is indeed necessary . “ Under the POPI Act , a business cannot keep a record of personal information once the reason or need for which it was collected no longer exists ,” Hattingh explains .
In addition to the impact on their own employees , the Act will impact the construction industry in a number of other ways , including the following :
• Suppliers : Supplier companies will have to review the methods they use to conduct their direct marketing campaigns .
Creative Commons | Pete Linforth on Pixabay
Companies should only keep and use any personal information for its intended purpose according to the now ineffect Protection of Personal Information Act .
www . hvacronline . co . za RACA Journal I September 2021 21