In today's digital workplace, protecting PII in HR is a priority. HR and payroll professionals are the stewards of some of the most sensitive data in any organization. From Social Security numbers to home addresses, employee records are filled with Personally Identifiable Information (PII) that, if mishandled, can lead to serious legal, financial, and reputational consequences.

Yet many organizations still underestimate the importance of training employees to recognize and protect PII—or they rely on outdated systems that leave data vulnerable. In this post, we'll explore why PII protection is critical, what HR teams need to know, and how tools like Integrity Data HRP can help create a culture of security. 

What Is PII and Why Should HR Care? 

PII refers to any data that can be used to identify an individual. This includes obvious details like names, addresses, and Social Security numbers, but also less obvious ones like email addresses, birth dates, and even IP addresses. 

In HR, PII is everywhere—from job applications and onboarding forms to performance reviews and benefits enrollment. And because HR professionals often handle this data daily, it's easy to become desensitized to its sensitivity. 

But the risks are real. According to this IBM report, the average cost of a data breach globally is $4.35 million, with the healthcare industry having the highest average cost.

Common Mistakes That Put PII at Risk 

During a recent conversation with T.R. McKnight, HR Enablement Specialist at Integrity Data, we discussed how even small oversights can lead to big problems. Here are a few examples: 

  • Sticky notes with passwords left on desks. 
  • Unsecured file cabinets or shared drives with open access. 
  • Emails containing sensitive data sent without encryption. 
  • Lack of awareness about what qualifies as PII. 

"Even an email address can be considered personally identifiable," McKnight explained. "And when you're working in HR, you have access to so much information that it's critical to know how to identify and protect it." 

Why Training Is the First Line of Defense 

Technology can help, but it's only as strong as the people using it. That's why training is essential. 

McKnight recommends holding regular sessions to help employees understand how to recognize PII, avoid common pitfalls, and use the tools available to them. 

This kind of training isn't just a best practice—it's essential. According to the Verizon Data Breach Investigations Report 2023, 74% of security breaches involved a human element, which includes human error, stolen credentials, privilege misuse, or social engineering. Proper training for your team can help mitigate these risks. 

Use this handout to supplement your next security training:

How Integrity Data HRP Helps Secure PII 

While training is foundational, the right tools can make secure practices easier to implement and maintain. Integrity Data HRP for Business Central and GP includes several built-in features designed to protect sensitive information: 

  • Multi-Factor Authentication (MFA) 

MFA adds an extra layer of security by requiring users to verify their identity through a second method—like a code from an app or biometric scan. Integrity Data HRP supports MFA for all users, and organizations can choose to enforce it for specific roles or across the board. 

"Admins can enable MFA for each employee during onboarding," said McKnight. "It only takes a few seconds per user, and we also support bulk setup through a data import template for larger organizations." 

  • Role-Based Access Controls 

Not everyone needs access to everything. HRP allows organizations to define who can see and edit specific types of data, reducing the risk of unauthorized access. 

  • Secure Cloud Storage 

All employee records are stored in a secure, Microsoft Azure cloud-based environment with password protection and encryption. This eliminates the need for physical file cabinets and reduces the risk of data loss due to theft or natural disasters. 

 

Best Practices for HR Teams 

Whether you're using Integrity Data HRP or another system, here are a few best practices to help your team protect PII: 

  • Implement MFA for all users, especially those with access to sensitive data. 
  • Limit access based on roles and responsibilities. 
  • Train employees regularly on how to identify and handle PII. 
  • Avoid storing passwords in unsecured locations. 
  • Use secure platforms for communication and file sharing. 

Cybersecurity is no longer just an IT issue—it's a company-wide responsibility. 

 

Final Thoughts

Protecting PII isn't just about checking boxes—it's about creating a culture where security is part of everyday operations. That starts with awareness, continues with training, and is reinforced by the right tools. 

Integrity Data HRP is designed to support that culture by making it easy for HR and payroll professionals to manage sensitive data securely and confidently. Whether you're onboarding new employees, managing benefits, or running reports, you can trust that your data—and your people—are protected. 

Integrity Data HRP – Your Complete HRIS for Dynamics Including Payroll for BC

Integrity Data HRP is your complete HR, Time Management, and Payroll platform from within Dynamics GP and D365 BC. Everything works together effortlessly so you can focus on what really matters, your people.

  • Escape the piles of paper and keep everything in one digital employee file.
  • From Applicant to Retirement, you can manage Recruitment & Onboarding, Benefit Elections, Performance Reviews, Certifications & Licenses, Reports, Payroll, Time & Attendance, and much more, all in one solution.
  • Employee Self-Service Portal is included for both Business Central and GP.
  • Full-Service Tax Filing and ACA Reporting Services available as well.

Reach out today and our no-pressure solution experts will answer your questions to see if we are a good fit for your organization.

Integrity Data has been serving the Dynamics community since 1996. Our passion is to help HR and payroll professionals own their time so they can focus on helping their people. As always, your people are our priority.