US technology giant Hewlett-Packard has this month joined the Safe Harbor scheme, an agreement between the US and the European Union on the safe transfer of personal data from the EU which concerns its citizens.

HP is the first major technology company to join the scheme which has to date proved unpopular with US businesses of which only 24 have signed-up since 1st November 2000.

“HP believes that consumer confidence will be enhanced by ensuring customer privacy rights on- and off-line," said Barbara Lawler, customer privacy manager, HP Privacy Program. "e-Commerce will grow faster if consumer confidence is reinforced by company efforts to ensure consumers have an effective recourse for privacy complaints through agreements like the safe harbor."

The transfer of data outside the UK or other EU countries is limited by data protection legislation to prevent transfers to countries without adequate data protection laws. The US has no equivalent legislation, instead relying on a self-regulatory system. Under the safe harbor, US companies can voluntarily adhere to a set of data protection principles to meet the requirements of the EU as regards transfers of data to the US.

Amazon.co.uk was recently reported to the UK’s Information Commissioner (formerly called the Data Protection Commissioner) for alleged abuse of data protection rules against the transfer of personal data to its US parent company without having signed-up to the Safe Harbor agreement.

More information on Safe Harbor

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