Short answer: Data ethics is about using data responsibly – even when it’s legal. It helps guide your business in how to approach the handling of other people’s sensitive information. Practicing data ethics can give you a real competitive edge and ultimately strengthen trust in your company and brand.
What is data ethics?
Ethics is about what’s right and wrong in human behavior. Data ethics is a branch of ethics that focuses specifically on the responsible use of data – especially personal data – and how your company protects the individuals whose data you process. In this blog, I explain what data ethics means for businesses and how you can work with it in a practical way.
Why do we need data ethics?
While data laws tell you what your business can and cannot do with data, data ethics helps you understand what you should or should not do. A strong sense of data ethics makes it easier and more intuitive to comply with data protection regulations. When working with other people’s data, you should get used to asking: “Is this the right thing to do?” and “Can we do it better?”
Did you know that GDPR violations can result in fines of up to 20 million euros or 4% of the company's global annual turnover, whichever is higher
- European Commision
Data ethics principles
Within data ethics, there are a number of key principles to keep in mind when handling personal data:
1. Ownership
Who owns the data? There is an easy answer to this question, and it has been written into most data regulations. The rights to personal data belong to the individual, i.e., the data subject. So, don’t take someone’s data without asking.
2. Transparency
People who share their data with you have a right to know how you plan to collect, store, and use it. Know your own processes, outline them in your privacy policy and be prepared to explain them in more detail if requested.
3. Privacy
Someone may be willing to share their PII with you in order to receive your products or services, but they may not want that data made public or shared with others. Consider who/what departments in your organisation really need access to personal data.
4. Intention
If your intention is to hurt someone, profit from their weaknesses, or any other malicious goal, it’s not ethical to collect their data. When you collect personal data, you should have a good reason to do so, and then only use the data for that purpose.
5. Impact
Even if you have good intentions, consider possible negative outcomes, and their impact on others. if you end up losing or leaking someone’s data, it could do them harm. Besides the obvious risk of identity theft, personal or sensitive data in the wrong hands could create an unfair bias against a person or embarrass them.
When you begin a new data processing activity, you should evaluate it against these principles.
Stop the GDPR monster before it gets its hold of your personal data
The benefits of data ethics
Good data ethics isn’t just a moral choice – it’s smart business. When you show that you take privacy seriously and protect people’s data rights, you build trust with your customers. It makes GDPR compliance easier, reduces the risk of fines, and saves administrative resources. In a time when consumers are more aware of their data than ever, responsible data practices can set you apart from competitors. In other words, data ethics is both a declaration of trust and a genuine competitive advantage.
Need help managing personal data?
In our newsletter you get tips and tricks for dealing with privacy management from our founder Sebastian Allerelli.
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Data ethics and GDPR
Ethics is about what is right and wrong – and forms the foundation for the principles and laws we follow. This also applies to the GDPR, which is essentially built on data ethical values. From the outset, the GDPR states its purpose: to protect people’s fundamental rights – especially the right to the protection of personal data.
In Chapter 2, the GDPR sets out six key principles for handling personal data:
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You must process data lawfully, fairly, and transparently.
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You may only collect data for clear and legitimate purposes.
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You must limit storage to what is necessary – no more.
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You must keep data accurate and up to date.
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You must delete data when it’s no longer needed – and have proper technologies and policies in place.
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You must protect data against unauthorised access, misuse, loss, and destruction.
As a business, you are responsible for meeting these obligations. Failing to do so can result in fines – and harm your credibility. GDPR is about accountability – and that is exactly what data ethics is all about.
FAQ on data ethics
1. Is data ethics legally required?
No, but in Denmark, the Financial Statements Act requires large companies to report on their data ethics policies. For others, it’s voluntary – but a wise strategic choice.
2. How are data ethics and GDPR connected?
GDPR is the law. Data ethics is about values and morality. It helps elevate data protection from a legal requirement to a company-wide culture.
3. What’s an example of data ethical practice?
Choosing not to use employee monitoring data, even if it’s technically legal and possible – because it would undermine trust and harm the work environment.
The easy road to data ethics
Good data ethics is about handling personal data responsibly, securely and with respect for the individuals the information relates to. This requires knowing which sensitive data you hold, how it is processed, and who has access to it. At Safe Online, we develop tools that make it much easier to protect and manage sensitive data in practice. When you can locate, understand and control your personal data – while also sharing it securely and responding correctly to data requests – you are far better equipped to work effectively with both data ethics and GDPR.
Our solutions include:
DataMapper – Find your sensitive data
ShareSimple – Send and receive data securely in Outlook
RequestManager – Process data subject requests easily
Learn more
Sebastian Allerelli
Founder & COO at Safe Online
Sebastian is the co-founder and COO of Safe Online, where he focuses on automating processes and developing innovative solutions within data protection and compliance. With a background from Copenhagen Business Academy and experience within identity and access management, he has a keen understanding of GDPR and data security. As a writer on Safe Online's Knowledge Hub, Sebastian shares his expertise through practical advice and in-depth analysis that help companies navigate the complex GDPR landscape. His posts combine technical insight with business understanding and provide concrete solutions for effective compliance.
