If all EU members have the same data protection laws, companies will have to comply

Jun 7, 2014 21:53 GMT  ·  By
The European Union finds way to force Google, Facebook and others to comply to local privacy laws
   The European Union finds way to force Google, Facebook and others to comply to local privacy laws

The European Union is putting its foot down and wants to force tech companies from anywhere in the world to abide by local data protection rules.

On Friday, the ministers agreed that Internet companies such as Google and Facebook, which handle a large part of the user data in Europe, should abide by the local data protection laws, as the Union seeks to tighten privacy laws with new reforms, following the NSA scandal.

Yesterday, Telco Vodafone revealed that the telephone surveillance operation orders didn’t come solely from the United States, but also from other nations around the globe. Since Vodafone has a strong presence in Europe, it is likely safe to assume that at least some of the countries that have demanded access to the company’s networks come from the area.

“All companies operating on European soil have to apply the rules,” clearly stated European Union Justice Commissioner Viviane Reding, mentioning that the decision taken by the ministers was also backed by the Court of Justice, Reuters reports.

Up until now, the rules stated that the companies working within the European Union had to comply with the local rules within the country they chose to set up shop in. This has led to companies looking for the country where the laws are most relaxed, just as it happens when they look for tax havens.

The new rules will make no such differences and all countries will have to adopt these data protection laws, which means that companies like Google and Facebook won’t have their pick anymore.

The changes don’t come as a surprise since a German court had previously decided that Facebook was subject to local data protection laws even if its headquarters were in Ireland.

Reding has also given a nod to Edward Snowden, the whistleblower that is the reason why online privacy is once more the topic of the day after he released classified NSA documents to the world, proving that the intelligence agency will spy on anyone.

“Now is the day for European ministers to give a positive answer to Edward Snowden’s wake-up call,” she said.

The rules are part of a new reform package that was approved by the European Parliament a few months ago. European governments are divided about all the points and more work needs to be done before they become law. The first steps, however, have been taken, and this is just as important and we’re likely to hear more about this in the coming months.