When Should You Ask for Employees to Share Personal Information?

Employees to Share Personal Information?

Asking for anyone’s personal information can be an awkward and sensitive situation. There are risks when you share personal information, and employers face legal consequences should this information be leaked or stolen.

It does beg the question, “When should you ask for personal information?” The majority of the time, it will depend on the specific circumstances of your workplace and what type of information you are asking for.

As a general rule, you should only request employees’ personal information when it is necessary for business purposes. Let’s go over a few scenarios.

Home address

A home address can be important in validating an employee’s claim they live where they say they are. This is especially important when the job requires them to live relatively close to the office.

An employee’s home address is also important to mail their W-2 forms or other important documents. You might also need their home address to contact them in the event of an emergency.

Cell phone number

A cell phone number can be essential for keeping in touch with employees who are often out of the office. It can also be a way to contact them in case of an emergency.

You may also need an employee’s cell phone number to send them company updates or check on their progress if they are working remotely. There might also be situations where you need to get in touch with them outside of work hours.

Date of birth or birth certificate

Date of birth or a birth certificate is helpful in verifying an employee’s identity. It can also be used to calculate things like retirement benefits.

You might need an employee’s date of birth to verify their identity for a background check

It can also be necessary if you’re celebrating their birthday. Some companies offer special bonuses or perks for an employee’s birthday.  

Social security number

A social security number is primarily needed for tax purposes. You’ll also need to share this information to comply with government regulations.

You likely won’t need an employee’s social security information until an employee is hired. Social security numbers are often used to verify identities and when conducting background checks.  

Driver’s license number

A driver’s license number is often used as proof of identity. It can also be used to check their driving record if the job requires them to drive a company vehicle.

A driver’s license number might also be used to conduct a background check and check an employee’s driving record. It might also be needed to comply with government regulations.

Bank account information

An employee’s bank account information is necessary to pay them through direct deposit directly. Typically, all you will need is an account and routing number.

You will primarily need to know this information when hiring a new employee. An employee may also share their bank account information if they close or change the previous account you had on file.

Medical information

Typically, employees don’t need to share their medical information with their employers before hiring. If they have a disability or other health condition, an employer might need a doctor’s note or other relevant information to validate.

You can also ask for employees’ medical information if they need to take sick leave, workers’ compensation, or if they’re applying for health insurance through your job. However, you can’t ask about their full medical history.

Obtaining personal information from your employees shouldn’t happen too often. It should be reserved only when necessary. As an employer, you need to take into careful consideration how you’ll keep your employees’ information safe. You shouldn’t be negligent and do all you can to protect this information or risk negative consequences

About Carson Derrow

My name is Carson Derrow I'm an entrepreneur, professional blogger, and marketer from Arkansas. I've been writing for startups and small businesses since 2012. I share the latest business news, tools, resources, and marketing tips to help startups and small businesses to grow their business.