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Protecting Employee Data: Why HR Departments Need VPNs

Safeguard sensitive employee data with VPNs—learn key security steps for HR teams to comply, minimize breaches, and ensure privacy today.
Oct 3, 2024
5 mins to read
Jack Lau
Litespace Blog
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Protecting Employee Data: Why HR Departments Need VPNs

In an era where cyber threats loom large, safeguarding sensitive employee data has become a top priority for organizations. Human Resources (HR) departments are often the custodians of highly confidential information—social security numbers, payroll details, health records, and more. These details, if compromised, could lead to devastating consequences for both employees and the company. One of the most effective ways to enhance security in the digital age is by implementing Virtual Private Networks (VPNs).

The Cybersecurity Landscape: Why HR is a Prime Target

Cybercrime is on the rise. In 2023 alone, the global cost of data breaches reached an average of $4.45 million per incident, according to IBM's Cost of a Data Breach Report. HR departments, given the volume and sensitivity of the data they manage, are prime targets for hackers.

Imagine this: an HR manager logs into the company's employee management system while working from a coffee shop. The free Wi-Fi seems harmless, but it's often riddled with vulnerabilities, making it an easy entry point for cybercriminals. Without a secure connection, employee data can be intercepted in transit.

A VPN acts as a shield in such scenarios. It encrypts data before sending and receiving, preventing it from being stolen or spoofed, and also hides the real IP address. You know,what can someone do with my IP? There is already a whole article about IP address safety, so we will not repeat ourselves. In other words, a VPN ensures privacy, anonymity and data security.

Remote Work and Data Security

The pandemic accelerated the shift to remote work, and this trend isn’t going away. As of 2025, an estimated 22% of the workforce will work remotely, according to Gartner. While remote work offers flexibility, it also opens new doors for cyber risks.

HR professionals frequently need to access employee records, payroll systems, and compliance documentation from various locations. When these tasks are performed over unsecured networks, they become vulnerable to breaches. A VPN mitigates this risk by creating a secure "tunnel" for data to travel through, regardless of the user’s location.

Furthermore, VPNs enable HR teams to access internal systems as if they were in the office, ensuring seamless and secure operations.

Compliance with Data Protection Regulations

Failing to protect employee data doesn’t just harm individuals—it can land companies in legal trouble. Regulations like the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) mandate strict data protection measures. Non-compliance can result in hefty fines, not to mention reputational damage.

VPNs play a crucial role in ensuring compliance. They help secure data transmission, prevent unauthorized access, and log activity for auditing purposes. For instance, under GDPR, organizations are required to implement "appropriate technical measures" to protect data. A VPN is one such measure that demonstrates a commitment to safeguarding employee information.

Mitigating Data Breaches and Unauthorized Access

Unauthorized access is a common cause of data breaches. In 2023, 83% of breaches involved external actors, many of whom exploited weak security practices. HR systems are particularly enticing because they often house data that can be sold or used for identity theft.

By encrypting data, VPNs render it virtually useless to unauthorized parties. Even if a hacker gains access to the network, the encrypted information would be unreadable without the proper decryption key. This level of security adds a critical layer of protection for HR departments managing sensitive employee data.

Benefits of VPNs Beyond Security

A VPN isn't just for data protection. With a good VPN like VeePN, you can even save money or access geo-restricted websites. The advantages of VPNs extend beyond mere protection:

  1. Global Access: For multinational companies, VPNs ensure HR teams can access systems securely from any part of the world.
  2. Cost-Efficiency: Modern VPNs are affordable and can be scaled as the company grows.
  3. Employee Privacy: VPNs protect not just the company’s data but also the privacy of HR employees as they perform their duties.

Implementation: What HR Departments Should Look For

When selecting a VPN for HR use, certain features should be prioritized:

  • Strong Encryption: Look for AES-256 encryption, a standard used by governments and security experts worldwide.
  • No-Log Policy: Ensure the VPN provider doesn’t store data about your online activities.
  • Multiple Server Locations: This allows for flexibility and ensures access to systems even when regional restrictions apply.
  • Ease of Use: A user-friendly interface ensures HR staff can adopt the VPN quickly without extensive training.

Companies should also provide training for HR teams on best practices for using VPNs and maintaining cybersecurity. After all, even the best tools can fail if not used properly.

The Cost of Inaction

What happens when HR departments neglect VPNs? Consider the case of a mid-sized company in 2021 that suffered a breach due to an unsecured remote connection. The attackers gained access to the HR database, compromising the personal information of 15,000 employees. The company faced legal action, lost employee trust, and had to pay millions in fines and recovery costs.

Such incidents are preventable. VPNs are a small investment compared to the potential financial and reputational fallout of a breach.

Conclusion

Employee data protection isn’t optional—it’s a necessity. HR departments, as gatekeepers of sensitive information, must prioritize security, especially in an era of remote work and sophisticated cyber threats. VPNs provide a reliable and cost-effective way to ensure data is encrypted, systems are secure, and regulations are met.

The question isn’t whether HR teams can afford to implement VPNs. It’s whether they can afford not to.

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