GDPR Digital Personnel File: 5 Obligations and Retention

Practitioner note: This is not legal advice. For specific situations, consult a qualified attorney or compliance officer.

TL;DR

  • Need-to-know access: Line managers see only their direct reports; HR sees all; management on demand; mandatory audit log
  • Retention: Payroll records 6 years (Section 41 EStG, German Income Tax Act); tax documents 10 years (Section 147 AO, Fiscal Code); applicant data 6 months
  • Mandatory deletion after retention expires; automated deletion processes required
  • Data subject access (Art. 15): Reply within one month with PDF covering all data categories
  • Health data is special category under Art. 9 GDPR — restrict access to HR and occupational physician

1. Access Concept (Need-to-Know)

Line managers should see only their own team members; HR sees the full file; executive management only on demand. Implement role-based access in the HR system (Personio, Workday, SAP SuccessFactors) and enable an audit log that records every read and edit.

2. Retention Periods

Payroll documents: 6 years (Section 41 EStG, German Income Tax Act). Tax-relevant documents: 10 years (Section 147 AO, German Fiscal Code). Applicant records: 6 months after rejection (BAG 2 AZR 1180/16, AGG limitation period). Active employee files retain status during employment and 10 years thereafter for civil-law claims.

3. Mandatory Deletion After Expiry

Implement automated deletion routines tied to the retention matrix. Where deletion conflicts with an active employment relationship or pending dispute, retain until the trigger ends, then delete. Document every deletion with timestamp and ground.

4. Data Subject Access Procedure (Art. 15 GDPR)

An employee request triggers a one-month response deadline. Provide a PDF covering all data categories: master data, contract data, payroll, performance reviews, training records, communications log. Free of charge for the first request per year.

5. Data Portability (Art. 20) for Employees and Applicants

Provide a machine-readable export (CSV or JSON) on request. Rarely invoked in practice, but mandatory. Document the export workflow so HR can deliver within the one-month deadline.

Summary

The digital personnel file is one of the highest-risk GDPR processing activities in any SME — high data volume, special categories (illness data), and strong employee rights. The safe baseline: role-based access with audit log, retention matrix tied to tax and labor law, automated deletion, documented Art. 15/20 workflows, and a Data Processing Agreement (DPA) with every HR software provider.

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Frequently Asked Questions

Who is liable in case of a data breach?
The employer. A data processing agreement (DPA) with the HR software provider (Personio, Workday) clarifies the internal relationship.
Particularly sensitive data?
Health data = Art. 9. Restrictive access: HR only + possibly company physician.

Sources

Tools & self-assessments

GDPR Checklist 30 check points for data protection compliance in SMEs. Fining Calculator Estimate the potential fine exposure for your organisation. GDPR Self-Assessment Structured self-test with maturity score and remediation roadmap. Cookie Banner Audit TDDDG/GDPR review of your cookie banner with concrete remediation hints.