Right now, beginning on January 1, 2023, the California Consumer Privacy Act (the CCPA), as amended by the passage of the California Privacy Rights Act in the November 2020 election, will apply to personal information collected by companies subject to the CCPA about their employees, job applications, and individuals at actual or prospective business customers, vendors, and suppliers. This outcome was assured this weekend, when the Legislature’s deadline expired to pass bills taking effect before January 1, 2023. We caution that it is possible that developments in next year’s legislative session, or the passage of a preemptive federal law, could change the present outlook.

Practical Takeaways

Companies that have been hard at work updating their CCPA compliance programs need to immediately fold employment-related and business-to-business (B2B) data into their readiness efforts.

Immediate steps should include:

• Examining the types and uses of employee and job applicant data and about individuals at vendors or suppliers or business customers to inform 2023 CCPA readiness efforts.
• Evaluating which exceptions to the 2023 CCPA’s various rights, including to delete, correct, and limit, may apply to employment and business data and the company’s use cases for those categories of data.
• Updating the company’s CCPA privacy disclosures to include employment and business data and any ancillary privacy statements that will need to link to those privacy disclosures.

In this latest...

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