# Data Retention Governance Policy

## Overview

This document establishes the organizational framework for data retention governance, ensuring compliance with legal requirements, business needs, and regulatory obligations while minimizing storage costs and privacy risks.

## Governance Principles

### Core Retention Principles

**Legal Compliance First**
- All retention periods must meet or exceed legal minimums
- Regulatory requirements take precedence over business preferences
- Cross-jurisdictional compliance for multinational operations
- Regular legal review of retention requirements

**Business Value Alignment**
- Retention periods should reflect actual business utility
- Historical data value diminishes over time
- Storage costs must be justified by business benefit
- Operational efficiency considerations

**Privacy by Design**
- Minimize retention of personal data
- Purpose limitation - retain only for original collection purpose
- Data subject rights must be accommodated
- Regular review and purging of unnecessary personal data

**Risk Management**
- Longer retention increases privacy and security risks
- Shorter retention may increase compliance risks
- Balance between legal protection and exposure
- Consider litigation hold requirements

## Retention Categories and Frameworks

### Business Record Categories

**Financial Records**
- Tax Records: 7 years (IRS requirement)
- Audit Documentation: 7 years post-audit completion
- Payroll Records: 4 years (FLSA requirement)
- Accounts Payable/Receivable: 7 years
- Banking Records: 5 years minimum

**Human Resources Records**
- Personnel Files: 7 years post-termination
- I-9 Forms: 3 years post-hire or 1 year post-termination (whichever longer)
- Benefits Administration: Duration of benefit plus 6 years
- Training Records: Duration of employment plus 3 years
- Performance Reviews: 5 years post-review

**Operational Records**
- Contracts: Duration plus 7 years
- Insurance Policies: Duration plus 10 years
- Safety Records: 30 years (OSHA requirement)
- Environmental Records: Permanent retention
- Intellectual Property: Permanent retention

### Technology and Data Records

**System Logs**
- Security Logs: 2 years minimum
- Application Logs: 90 days standard, 1 year for critical systems
- Access Logs: 1 year minimum
- Audit Logs: 7 years for financial systems

**Customer Data**
- Active Customer Records: Duration of relationship plus 7 years
- Inactive Customer Records: 3 years post-last interaction
- Customer Communications: 3 years standard
- Transaction Records: 7 years minimum

**Marketing and Sales Data**
- Lead Information: 2 years post-last contact
- Campaign Data: 3 years post-campaign
- Website Analytics: 2 years
- Customer Consent Records: Duration of processing plus 3 years

## Regulatory Compliance Framework

### Industry-Specific Requirements

**Healthcare (HIPAA)**
- Medical Records: 6 years minimum
- Billing Records: 6 years
- Audit Logs: 6 years
- Patient Communications: 6 years

**Financial Services**
- Customer Records: 5 years post-account closure
- Transaction Records: 5 years minimum
- Compliance Records: 6 years
- Risk Management Records: 7 years

**Education (FERPA)**
- Student Records: Varies by type (3-60 years)
- Transcripts: Permanent
- Disciplinary Records: 7 years
- Financial Aid Records: 3 years post-award

### International Compliance

**GDPR (European Union)**
- Personal Data: Only as long as necessary for purpose
- Consent Records: Duration of processing plus proof period
- Data Breach Records: 3 years minimum
- Data Protection Impact Assessments: Lifecycle of processing

**CCPA (California)**
- Personal Information: 24 months maximum for sale/sharing
- Consumer Requests: 24 months
- Opt-out Records: 24 months
- Third-party Disclosures: 12 months

## Retention Decision Framework

### Decision Criteria Matrix

**Legal Requirements Assessment**
1. Identify all applicable laws and regulations
2. Determine longest required retention period
3. Consider statute of limitations periods
4. Account for litigation hold requirements
5. Review international jurisdiction requirements

**Business Value Assessment**
1. Operational necessity for ongoing business
2. Historical reference value
3. Analytics and reporting requirements
4. Customer service needs
5. Strategic planning utility

**Risk Assessment**
1. Privacy risks of continued retention
2. Security risks of data exposure
3. Compliance risks of early disposal
4. Legal risks of inadequate retention
5. Reputational risks of data incidents

**Cost-Benefit Analysis**
1. Storage and maintenance costs
2. Compliance and legal costs
3. Risk mitigation value
4. Business opportunity costs
5. Operational efficiency impacts

### Retention Schedule Development

**Schedule Components**
- Record Type and Description
- Legal Basis for Retention
- Minimum Retention Period
- Maximum Retention Period
- Disposal Method and Authorization
- Review and Update Frequency

**Approval Process**
1. Legal review and approval
2. Business stakeholder sign-off
3. Privacy officer assessment
4. Information security review
5. Executive approval for organization-wide schedules

## Data Lifecycle Management

### Lifecycle Stages

**Active Phase**
- Data in regular use for business operations
- Full access and processing capabilities
- Standard backup and recovery procedures
- Regular quality and accuracy maintenance

**Inactive Phase**
- Data no longer regularly accessed
- Reduced access controls and procedures
- Archive storage with retrieval capabilities
- Periodic review for continued relevance

**Archive Phase**
- Long-term preservation for legal/compliance needs
- Limited access with approval requirements
- Cost-optimized storage solutions
- Integrity verification and migration planning

**Disposal Phase**
- Secure destruction per approved methods
- Certificate of destruction documentation
- Audit trail of disposal activities
- Verification of complete removal

### Transition Criteria

**Active to Inactive**
- No access for 90 days (standard)
- Business process completion
- Project or initiative closure
- Customer relationship termination

**Inactive to Archive**
- No access for 1 year
- Legal retention requirement only
- Compliance or audit need only
- Historical reference value only

**Archive to Disposal**
- Retention period expiration
- Legal hold release
- Business value elimination
- Privacy requirement compliance

## Implementation and Governance

### Organizational Responsibilities

**Data Governance Committee**
- Policy development and approval
- Cross-functional coordination
- Exception review and approval
- Performance monitoring and reporting

**Legal Department**
- Regulatory requirement interpretation
- Litigation hold management
- Compliance risk assessment
- External counsel coordination

**Information Technology**
- Technical implementation of retention
- Automated lifecycle management
- Secure disposal execution
- System and process documentation

**Business Units**
- Data classification and categorization
- Business value assessment
- Retention schedule compliance
- Exception identification and reporting

### Monitoring and Compliance

**Regular Reviews**
- Annual retention schedule review
- Quarterly compliance assessment
- Monthly disposal activity review
- Ongoing legal requirement monitoring

**Audit and Verification**
- Internal audit of retention practices
- External compliance audits
- Disposal verification procedures
- Documentation and record keeping

**Exception Management**
- Litigation hold procedures
- Regulatory investigation requirements
- Business continuity needs
- Emergency access protocols

### Training and Awareness

**Required Training**
- All employees: Basic retention awareness
- Data handlers: Detailed retention procedures
- Managers: Oversight and compliance responsibilities
- IT staff: Technical implementation requirements

**Ongoing Education**
- Regular policy updates and communications
- Best practice sharing and lessons learned
- Regulatory change notifications
- Incident response and remediation training

## Continuous Improvement

### Performance Metrics

**Compliance Metrics**
- Retention schedule adherence rate
- Timely disposal completion rate
- Legal hold compliance rate
- Audit finding resolution rate

**Efficiency Metrics**
- Storage cost optimization
- Retrieval time and success rate
- Process automation percentage
- Resource utilization effectiveness

**Risk Metrics**
- Data breach incident rate
- Privacy violation frequency
- Compliance penalty avoidance
- Legal discovery efficiency

### Process Enhancement

**Regular Assessment**
- Technology capability evaluation
- Process efficiency analysis
- Cost-benefit optimization
- Stakeholder satisfaction measurement

**Innovation Adoption**
- Emerging technology evaluation
- Industry best practice integration
- Regulatory development monitoring
- Continuous process improvement
