Global Mobility & Data Security: Key Risks and How to Stay Compliant

Global Mobility & Data Security: Key Risks and How to Stay Compliant

Table of Contents

Table of Contents

As global mobility programs expand in scale and complexity, so too does the volume and sensitivity of personal data being collected, transmitted, and stored across borders.

From visa applications to tax equalisation forms, relocation logistics, and payroll processing, the global mobility function routinely handles sensitive personal information (SPI), often spanning multiple legal jurisdictions and IT systems. Yet in many businesses, the privacy, data protection, and cybersecurity implications of mobility are too often under-recognised.

This article sets out the core data privacy and security risks we see in global mobility programs, why CXOs and HR leaders should act, and the practical steps employers can take to reduce risk and demonstrate compliance.

Global mobility requires collecting and sharing a wide range of personal data, often well beyond standard HR files. This includes:

  • Full identification documentation (passport scans, birth certificates, driver’s licences).
  • Financial information (salary, tax returns, bank accounts).
  • Medical data (needed for visas, insurance, and/or relocation support).
  • Family details (spouse/children’s documents, schooling detail).
  • Location tracking (assignment history, physical presence in countries data).
  • Tax residency and immigration status.
  • Share plan and equity records.
  • Social security identifiers.

This data often passes through many parties including external tax advisers, immigration agents, relocation providers, payroll vendors, and in some cases, offshore shared services centres and overseas parent entities. All of these therefore increase the potential risks in the event of data attacks and regulatory exposure.

Personal data is often transferred across multiple jurisdictions as part of the global mobility process – sometimes without the appropriate legal framework in place. Risks include:

  • Breaches of data localisation laws, particularly in the EU, China, Brazil, and parts of Southeast Asia.
  • Transfers to jurisdictions without adequate protections under laws like the EU’s General Data Protection Regulation (GDPR) or Australia’s Privacy Act.
  • Use of cloud-based tools hosted outside Australia without appropriate contractual safeguards.
  • Insufficient contractual terms (Standard Contractual Clauses or Binding Corporate Rules) between related entities or third-party vendors to manage the retention or deletion of relevant sensitive information.

Failure to structure international data flows appropriately can lead to enforcement action, litigation exposure, and significant reputational damage – especially where employee information is involved.

Many employers incorrectly rely on employee “consent” to legitimise all data handling practices in respect of global mobility. However:

  • Under GDPR and similar frameworks, consent must be freely given, specific, informed, and revocable – which is difficult in many employment contexts.
  • Consent does not cover all cross-border transfers or vendor processing activities.
  • Many jurisdictions favour lawful basis models (e.g. contract necessity, legal obligation) over consent for employment-related processing.

This means global mobility programs need to build their data flows and vendor management protocols around compliance by design, not blanket declarations.

Mobility programs often engage a web of third-party vendors across the globe to handle relocation, immigration, tax compliance, and or assignment management. Risks arise when:

  • Vendors operate in jurisdictions with lower privacy standards than the home country.
  • Data is transferred to or accessed from offshore locations without adequate security protocols in place.
  • There is no proper due diligence, data processing agreement, or audit right in place between the employer and the vendor.
  • Vendors subcontract to additional providers or other overseas locations without visibility or oversight.

Organisations remain accountable as data controllers under most privacy laws and can be liable for breaches caused by vendor processors – particularly if contractual governance is lacking.

Mobility data often sits in multiple inboxes, shared drives, and third-party portals long after the employee returns home or leaves the company. Without proper policies:

  • Sensitive data may be retained indefinitely in breach of privacy principles.
  • Files containing tax ID numbers, visas, and compensation data may be exposed.
  • Legacy access privileges may remain open to former staff or vendors.

A best-practice program should apply strict data minimisation, access control, and retention schedules, with regular audits and secure deletion protocols across all systems to reduce risks.

In an era where employees are increasingly aware of how their data is handled, a breach involving sensitive personal information during an international assignment can severely damage employer trust and brand reputation.

Global talent, especially executives or senior hires, may expect:

  • Clarity about what personal data will be used for and who will see it.
  • Confidence that medical, family, and financial data is handled discreetly and securely.
  • Assurance that their information will not be retained or shared indefinitely.

Organisations must treat mobility privacy as part of their employer value proposition, not just a compliance ‘ticking of the box’.

To protect your business and people, consider the following steps to ensure appropriate protections are in place to manage your data privacy and security challenges:

1. Map your data flows:

Identify what data is collected, why, where it flows, who accesses it, and where it is stored.

2. Review cross-border transfers:

• Check whether data is transferred outside Australia or other originating jurisdictions.

• Ensure transfers are backed by adequate legal mechanisms.

3. Audit your third-party vendors:

• Ensure all mobility vendors have signed data processing agreements, and conduct regular due diligence. Understand how your vendors will use the data.

4. Clarify your lawful basis:

• Rely on legal obligation, contract performance, or legitimate interest, not simply employee consent, for most processing.

5. Implement access controls and data retention rules:

• Limit access to only those who need it, and dispose of outdated data securely as soon as not required.

6. Engage legal and privacy experts early:

• Include your legal, data privacy, and information security teams when onboarding new providers or implementing assignment management systems.

Andersen Australia works with organisations to embed privacy and cybersecurity into their global mobility operations. We support clients through our trusted partners with:

  • Privacy impact assessments (PIAs) for mobility functions.
  • Cross-border data transfer reviews and GDPR/Privacy Act compliance.
  • Data processing agreements and vendor due diligence frameworks.
  • Employee communication and consent strategy.
  • Integration of privacy protocols into mobility policy and assignment management tools.
  • Advice on audit readiness and incident response planning.

As global scrutiny increases, privacy and security can no longer be an afterthought in mobility programs, they must be embedded from day one to give confidence to all participants.

To assess your mobility data risk profile or implement a compliant framework, contact the Andersen Global Mobility team.

©Andersen Australia Pty Ltd. All Rights Reserved. Andersen is the Australian member firm of Andersen Global, an association of legally separate, independent member firms located throughout the world providing services under their own name or the brand “Andersen,” “Andersen Tax,” “Andersen Tax & Legal,” or “Andersen Legal.” Andersen Global does not provide any services and has no responsibility for any actions of the member firms, and the member firms have no responsibility for any actions of Andersen Global. No warranty or representation, express or implied, is made by Andersen, nor does Andersen accept any liability with respect to the information and data set forth herein. Distribution hereof does not constitute legal, tax, accounting, investment or other professional advice.

Facebook
Twitter
LinkedIn

Frequently Asked Questions

Looking for expert tax advice?

For any enquiries related to this update, contact us today.

Andersen Australia

Andersen Australia prides itself on delivering insightful, informative, and engaging content. Our team comprises professionals with extensive experience in their respective areas, ensuring a unique blend of practical knowledge and visionary ideas. Whether it’s the latest tech trends, business strategies, or creative insights, Andersen Australia brings a fresh perspective and a commitment to excellence in each insight.

Related Articles

Unlock truly independent advice.

Contact Us

Blog Form

This field is for validation purposes and should be left unchanged.