Posted on 19 Aug 2009 by Stuart

The unencrypted stolen laptop, which was not recovered, contained the payroll data of around 9,000 UK based UPS employees. UPS, the parcel service and global transportation and logistics business, has taken remedial action, including encryption of all its UK laptops and smartphone devices, following the breach of the Data Protection Act.

As a result of the data loss, UPS has had to notify all affected UK employees of the theft and has had to go to the effort of implementing precautionary measures for those affected.

Mick Gorrill, Assistant Information Commissioner, said: "Password protected laptops are not secure. ... I am pleased that UPS has encrypted its laptops and smartphones, and I urge other organisations to follow suit."

Anyone who processes personal information must comply with eight principles, which make sure that personal information is:

1. Fairly and lawfully processed
2. Processed for limited purposes
3. Adequate, relevant and not excessive
4. Accurate and up to date
5. Not kept for longer than is necessary
6. Processed in line with your rights
7. Secure
8. Not transferred to other countries without adequate protection

If your business is not complying with these eight principles, you are in breach of the Data Protection Act.

Stuart Gilbertson, Managing Director at Easy PC Scotland, said: "I simply can't believe that these businesses are happy to carry on trading without consideration as to how much it's going to cost them when they get caught. All business owners should be aware of the importance of encrypting sensitive data by now, and if they continue to ignore it, they're going to pay the penalty.

I imagine the costs for UPS to notify all employees of the data loss, and the precautionary measures they've haven to take would have greatly exceeded the cost of simply implementing an encryption service from the outset. Then, on top of that cost, they've had to implement encryption as well.

To all businesses out there that process personal data; save money now and get encrypted before you lose that information!"

Easy PC Scotland are running a special offer for the month of August. 50% off the final invoice for all encryption services. Visit our page here for more information.