In the European Union, the General Data Protection Regulation (GDPR), known in Dutch as the AVG, governs how personal information is collected, stored, and used. That means businesses using AI must ensure their systems are not only efficient, but also legally compliant and privacy-friendly.
In this article, we explain what GDPR means for AI, where the main risks lie, and how Kleritt helps companies apply AI responsibly and safely.
What Is the GDPR and Why Does It Matter for AI?
The GDPR protects the privacy rights of individuals within the EU. It defines how personal data, such as names, contact details, browsing behaviour, or health information, may be processed.
AI directly interacts with these rules because most AI systems rely on large datasets to function. When those datasets contain information that can identify people, GDPR compliance becomes mandatory.
For example: imagine an AI system that screens job applications. It processes personal data like education and work history to make automated decisions. Under GDPR, this system must be transparent, explainable, and fair. Applicants have the right to know that an AI is evaluating them, and what data that decision is based on.
The Biggest GDPR Challenges in AI
AI and data protection often clash because machine learning requires vast amounts of data to learn effectively. Yet GDPR imposes strict principles:
- Purpose limitation: data can only be used for its original purpose.
- Data minimisation: collect only what’s necessary.
- Storage limitation: delete data when it’s no longer needed.
- Lawful basis: always have a legal reason for processing data (e.g., consent, contract, or legitimate interest).
If an AI model predicts buying behaviour using customer data, it cannot simply pull in extra information from external sources without clear justification or consent.
Transparency and Consent
Transparency is one of GDPR’s core values. Companies must clearly explain how and why data is being used. This includes:
- Informing individuals about what data is collected.
- Explaining what the consequences of data use are.
- Providing an easy way to withdraw consent.
For sensitive data, such as medical, financial, or biometric information, explicit consent is required. Businesses must also take extra steps to secure and anonymise such data.
Automated Decision-Making: Human Oversight Is Essential
AI can make fast, automated decisions, but GDPR requires that human intervention must always be possible. Fully automated decisions about individuals are only allowed under specific legal bases, and people must have the right to challenge them.
For example, if an AI determines a person’s credit score, the individual must be able to request an explanation, appeal the decision, and have it reviewed by a human.
Security, Storage, and Retention
GDPR demands robust data security for any system handling personal information, including AI. Key measures include:
- Encryption and access control to protect sensitive data.
- Audit logs to track how and when data is processed.
- Regular updates to prevent vulnerabilities.
Additionally, companies cannot store data indefinitely “for future analysis.” Retention periods must be justified and regularly reviewed.
Roles and Responsibilities
GDPR distinguishes between two main roles:
- The data controller, who decides how and why data is processed.
- The data processor, who handles the data on behalf of the controller (for example, an AI provider).
Both parties share legal responsibilities and must often sign a data processing agreement (DPA). When using third-party AI platforms, companies must know where data is stored and who can access it.
Making AI GDPR-Compliant
AI and GDPR can work hand in hand, if handled correctly. Businesses can innovate responsibly by:
- Limiting data collection to what’s strictly necessary.
- Applying anonymisation or pseudonymisation where possible.
- Setting clear internal policies for data usage.
- Performing Data Protection Impact Assessments (DPIAs) for new AI systems.
- Training AI models only on secure, verified datasets.
Legal and technical consultation is recommended before deploying any AI solution that processes personal data.
How Kleritt Helps Businesses Use AI Responsibly
At Kleritt, we help companies embrace AI without compromising privacy or compliance. Our focus is on practical, transparent, and GDPR-safe implementation.
We offer:
- AI Implementation: setting up AI systems that meet privacy and security requirements.
- Integration: connecting AI to existing tools while protecting data.
- Compliance checks: assessing AI solutions for GDPR alignment.
- Data governance: policies for storage, access, and lifecycle management.
With Kleritt, your AI project isn’t just innovativel, it’s responsible, transparent, and fully compliant.
Want to learn more on how your business can leverage AI safely? We recommednd to read our articles about Ai Regulations and The EU AI Act.
