Employee data minimization

(a) Employee data collection and usage prohibitions (1) In general Except as otherwise required by law, an employer or, as applicable, a service provider of the employer may not collect or use employee data— (A) to identify any covered individual to determine if they have or intend to form, join, assist, or seek to form, join, or assist, a labor organization; (B) to monitor the activities of any covered individual concerning or related to a labor organization or with respect to engaging in protected concerted activity; (C) to ascertain any political opinion or activity, religious view, or other identity marker of the covered individual, that is unrelated to the performance of the job duties of the covered individual for the employer; (D) to identify the health status, any health condition, or disability status of a covered individual that is unrelated to the performance of the job duties of the covered individual for the employer; (E) to ascertain the immigration status of a covered individual; (F) to monitor the activities of any covered individual concerning or related to reporting the employer, or a third party or service provider of the employer, for a violation of any other law, including monitoring for purposes of identifying a covered individual who has reported or intends to report the employer or such a third party or service provider; (G) to predict any behavior, emotion, or belief of a covered individual that is unrelated to the work of the covered individual for the employer; or (H) to threaten the mental or physical health of the covered individual. (2) Off duty employee data collection An employer or, as applicable, a service provider of the employer may not collect employee data regarding a covered individual while the covered individual is off-duty, including when the covered individual is off-duty in— (A) a break room or in a sensitive area, such as a restroom or locker room; (B) a location provided for the covered individual to express breast milk; (C) a location provided for the covered individual to pray or participate in a religious activity; or (D) the home of the covered individual or an alternative location where work is performed that is not the worksite of the employer. (b) Permissible employee data collection An employer or, as applicable, a service provider of the employer may collect employee data with respect to a covered individual only if— (1) the collection of employee data is not otherwise prohibited by subsection (a); (2) the employee data is primarily used— (A) to allow the covered individual to accomplish an essential job function; (B) to ensure the quality of goods and services; (C) to conduct a periodic assessment of worker performance; (D) to ensure compliance with employment, labor, or other relevant laws; (E) to protect the health, safety, or security of a covered individual or the security of a facility or computer network of the employer; or (F) to administer wages or benefits to a covered individual; (3) the employee data is collected and used solely for a purpose disclosed by the employer in accordance with section 4(a)(1)(G); (4) the collection of employee data is strictly necessary to accomplish such a purpose, exclusively used to accomplish the purpose, and is the least invasive means to the covered individual that could be used to accomplish the purpose; (5) the collection of employee data is limited to the fewest covered individuals needed for such collection; (6) the least amount of employee data is collected; (7) employee data is collected no more frequently than is necessary to accomplish the purpose; and (8) the employee data is only retained by the employer or, as applicable, the service provider for only as long as it is reasonably necessary for the purpose and, except as otherwise required to be retained by law, is deleted by the employer on the date that is 3 years after the date of— (A) the separation of the covered individual from employment by or engagement for work with the employer; or (B) in the case of a covered individual who is an applicant that was not employed by or otherwise engaged for work for remuneration by the employer, the discontinuation of the application process of the covered individual. (c) Transfer of employee data (1) Prohibition on selling An employer or, as applicable, a service provider of the employer may not sell or license employee data on a covered individual to any person (including a service provider of the employer). (2) Transfer restrictions to a service provider Except as otherwise required by law, an employer or, as applicable, a service provider of the employer may not transfer employee data on a covered individual to any service provider of the employer unless, for each instance of a transfer— (A) the employer or the service provider making the transfer— (i) discloses the transfer to the covered individual; and (ii) provides cybersecurity protections and encryption for the employee data; and (B) the covered individual opts in to the instance of the transfer. (3) Transfer prohibition to a third party An employer or, as applicable, a service provider of the employer may not transfer employee data on a covered individual to a third party, except as otherwise required by law. (d) Employer contracts with service providers that collect employee data A service provider of an employer that collects or uses employee data regarding covered individuals of the employer shall include in any contract between the employer and service provider entered into after the effective date of this section an agreement to comply with the requirements of this section. (e) Effective date This section shall take effect on the date that is 60 days after the date of enactment of this Act.