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ARTICLE · 05 FEBRUARY 2016

EU Privacy Regulators: Newly Announced "Privacy Shield" Not A Safe Harbor Yet

In its Statement, the Working Party sent an unequivocal reminder that U.S. multinational employers can no longer rely on the Safe Harbor to legitimize the transfer of EU employees' personal data to the United States.

GlobalEmployment and HR

In response to the February 2, 2016, announcement by the European Commission (the "Commission") and the U.S. Commerce Department of a new framework, called the "Privacy Shield," to replace the invalidated U.S.-European Union ("EU") Safe Harbor Framework for cross-border data transfers,1 the EU's top data protection regulatory body, the Article 29 Working Party (the "Working Party"), issued a statement expressing reservations and providing limited guidance for U.S. multinational employers. The Working Party's Statement, issued on February 3, 2016, demonstrates that the regulatory environment surrounding transfers of personal data between the U.S. and the EU remains fraught with uncertainty and risk.

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