Understanding Personal Data Protection Act 2010

The Personal Data Protection Act 2010 (PDPA) serves as Malaysia’s cornerstone legislation governing the processing of personal data in commercial transactions. Enacted in June 2010, it sets the legal framework to protect individuals’ personal information, thereby promoting data privacy and security in the digital age.

 

Scope and Penalties

The PDPA applies to any entity that handles personal data in the course of commercial activities, imposing stringent compliance requirements. Non-adherence to the PDPA can result in penalties ranging from RM100,000 to RM500,000, and/or imprisonment for 1 to 3 years, highlighting the seriousness with which data protection is regarded.

 

Principles and Data Protection

Underpinning the PDPA are seven principles: General, Notice and Choice, Disclosure, Retention, Security, Access, and Data Integrity. These principles collectively ensure that personal data, from identification details to sensitive expressions of opinion, is handled with the utmost care. Personal data is defined as any information relating to an identifiable individual, directly or indirectly, including sensitive personal data.

 

Responsibilities and Challenges

Organisations are responsible for ensuring that any third-party data processors they engage also adhere to the PDPA’s stringent data protection measures. This Act influences the entire lifecycle of personal data management, from collection through to destruction, necessitating businesses to refine their processes to ensure compliance. Notably, the management of consent and the complexity of cross-border data transfer present significant challenges, often requiring a centralised consent management system.