Employers Must Battle Identity Theft Threat

"Identity theft is not only a growing problem for consumers across the country, but it is clearly a growing danger for the unwary employer as well."

So states John Emerson in this excellent article from Nexsen Pruet. Attorney Emerson offers these suggestions for reducing the risk of liability related to the theft of employee personal information:

"First, employers should carefully consider how much information is actually required for each employee...

Second, employers should ensure that sensitive information is stored in well-secured files with limited access...Files containing personal data should not be stored on a central network accessible by all employees.

Third, employers should take simple though often overlooked steps such as locking file cabinets, deleting social security numbers from personal files...and ensuring that fax machines and mail depositories are in secure locations.

Fourth, employers should conduct training sessions...

Finally, in addition to the selfimposed changes employers can implement to improve information security, employers should know that, under Federal Trade Commission Regulation, consumer information that is contained in or derived from a consumer report must be disposed of in a very specific manner..."

Found via the Employment Law Information Network newsletter.