Payroll

Payroll Data Security: DPDP Act and Best Practices

2025-11-30 · 7 min

Salary, bank and Aadhaar data are 'personal data' under the DPDP Act. Payroll teams must treat them with care.

Consent and notice

Provide a privacy notice and obtain valid consent for processing.

Data minimisation

Collect only what is necessary; mask Aadhaar and bank IDs in MIS.

Vendor controls

Sign DPAs with payroll vendors and audit their security posture.

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