What To Know About Biometric Time Clock Laws

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Biometric Time Clock Laws: What You Need To Know

As technology evolves, companies are looking for ways to incorporate new tools to become more efficient and secure in every aspect of their business. One of the technological tools on the rise is the biometric time clock. In fact, SHRM found that 62% of businesses in their 2018 survey were already using it, and an additional 24% of companies are expecting to make the switch in the coming years.

With the increase of use, there’s an increased need to understand biometric time clock laws. If you’re considering making the switch, or have already adopted biometric time clocks, contact ESS – Employer Support Services to ensure your company complies with biometric time clock laws.

What Are Biometric Time Clocks?

Biometric time clocks are considered to be the most secure and accurate way to record work time and prevent incorrect or fraudulent punches, known as “buddy punches.” They work by allowing the employee to clock in using a fingerprint, face or hand scan, or even eye and voice recognition. Some biometric time clock systems can also allow employees to clock in or out via their mobile devices.

[Related: Benefits Of Integrating HR & Payroll]

States With Existing Biometric Time Clock Laws

With more states expected to add laws to the books, Illinois, Washington, and Texas have led the pack and implemented strict biometric time clock laws regarding the storage, usage, and disposal of employee biometric data. New York, California, and Arkansas have also crafted laws or informal opinions on standing laws for biometric time clocks.

If you’re concerned about your company’s compliance, contact ESS. Our team of HR professionals expertly navigate the laws of biometric time clocks, so that your company can remain in compliance and have peace of mind.

Biometric Time Clock Laws To Keep In Mind

Following the example set by Texas, Washington, and Illinois, many states are preparing to add new biometric time clock laws and compliances that businesses must follow. In fact, many states already require the employee to sign a disclosure stating that they are aware and understand their biometric data is being recorded and stored by the employer.

In addition to the disclosure at the beginning of an employee’s tenure, or when the company starts using the new time clock system, there are laws for biometric time clocks regarding the disposal of data when an employee is terminated. The employer is responsible for deleting the employee’s biometric information upon their termination. Failure to comply with biometric time clock laws could result in hefty fines.

[Related: Avoiding Payroll Errors]

Keeping Employee Biometric Data Safe

Many companies have also faced lawsuits from employees due to their failure to comply with biometric time clock laws. One of the most prominent companies facing a lawsuit is Zappos. Employees have alleged that the company improperly handled the biometric data of employees.

As new technology emerges, the concern for data privacy grows. Employers must be able to protect the data and information they collect through biometric time clocks, or they could be held liable for damages caused by a data leak.

Ensure your company is in compliance with the latest biometric time clock laws when you work with ESS. Contact our team today and receive up-to-date advice and powerful HR systems to help your company embrace emerging technology while remaining compliant and safe.

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