What can GDPR breaches potentially lead to?

The General Data Protection Regulation (GDPR) is a comprehensive set of data protection laws in the European Union designed to ensure that individuals' personal information is handled with care and respect. When organizations fail to comply with GDPR, it can lead to significant repercussions.

Breaches of GDPR can result in hefty fines imposed by regulatory authorities, which can reach up to 4% of a company's annual global turnover or €20 million (whichever is higher). This financial impact serves as a deterrent, prompting organizations to prioritize compliance and data protection. Furthermore, individuals whose personal data has been mishandled may seek compensation for any damages incurred due to the breach, which adds another layer of financial risk for organizations falling short of GDPR requirements.

The other options suggest positive outcomes that do not align with the consequences of GDPR breaches. Increased employee engagement, improved data practices, and stronger customer relationships typically stem from effective governance and data protection strategies rather than the fallout from GDPR violations. Focusing on compliance helps foster trust and confidence in both employees and customers, but the breaches themselves inherently lead to negative consequences like fines and compensation claims.