Is digitizing your HR department completely new territory for you? Here you will find important tips for a successful start.
What to Expect Here – An Overview
1. The paper-based personnel file as a perennial favorite
2. What, how, where: personnel file vs. digital personnel file
3. Which documents belong in a digital personnel file?
4. Hands off: This data does not belong in a digital personnel file
5. Introduction of digital personnel files: These 3 requirements are key
6. At a glance: the advantages of a digital personnel file
7. IBM FileNet Content Manager: The dynamic file offers complete flexibility
8. Our webinar "Digital personnel files: Optimally structuring documents"
As experts in the field of document management, we have explained the basics of a digital record in detail in the past. A digital record is much more than just an electronic version of its paper predecessor. Using the example of a digital personnel file, we would like to highlight the advantages and benefits of a smart and efficient file solution.
The paper-based personnel file as a perennial favorite
If you search online for information about the structure and content of personnel files, you will still find a lot of information about setting up, creating, and maintaining traditional paper files. For many years, digitization was only slowly advanced in human resources or HR departments, so that a large number of file folders continue to be hidden away in cabinets and archive basements.
However, before we get to the major advantages of a digital personnel file, we would first like to explain the term in more detail and answer the most common questions associated with it.
What, how, where: personnel file vs. digital personnel file
Personnel files contain all relevant documents and records describing the employment relationship between employees and employers. Employers must comply with certain legal obligations, such as the preservation and protection of personal data. In addition, employers are required to document certain records. It should be noted that there is no legal obligation to maintain personnel files as such.
The digital personnel file is the digital version of the paper-based personnel file. The only difference between the two is the format (digital vs. paper) – but generally not the content. The digital personnel file also serves as an overview and documentation of the respective employment relationship for the human resources department.
Which documents belong in a digital personnel file?
There are no legal requirements governing how personnel files—whether digital or analog—should be maintained or what they should contain. In plain language, this means that each company determines the structure of its personnel files itself. But be careful: it is important to ensure that only data relevant to the employment relationship is included in the personnel file.
The following documents are usually filed in a personnel file and organized in a structured manner:
Master data sheet (better known as a file cover) containing all information on names, dates of birth, addresses, start/end dates, employment status (fixed-term/permanent, position), etc. Each company can decide for itself which master data is important for the overview.
Not only the cover letter and resume, including photo, are archived, but also attached documents such as school/work certificates and certificates of honorary positions.
The most important contract to document is probably the employment contract. Contract amendments/addenda and agreements deviating from the contract are also documented. Other contract-like documents include powers of attorney, warnings, reprimands, and residence/work permits.
And related/associated data such as social security data and tax documents.
Certificates or certificates of training courses or workshops attended by employees can also be documented or stored here.
Important documents between employer and employee, such as promotion letters, minutes from employee training sessions or development meetings, also belong in (digital) personnel files. Interim and final references also belong in the personnel file.
We have only listed the most common documents and records—the list can be expanded as desired (for exceptions, see the section "Hands off: This data does not belong in a (digital) personnel file" ). The larger the company, the more complex the variety of personnel-related documents. The structure and content of the (digital) file are not subject to any standards and can be customized.
Hands off: This data does not belong in a digital personnel file
There are some types of documents and information that should not be included in personnel files, whether digital or not:
- Medical findings
- Sick days and reasons for sick leave
- Private social media posts and social media profiles of employees
- Court records (due to legal labor dispute)
- Information about personal preferences
- Religious affiliation (subject to tax reasons)
- Political orientation
- And more...
As a rule of thumb, any information relating to the employee's privacy does not belong in the personnel file. It is important to note that the handling and management of (digital) personnel files is governed by the employee's personal rights. Therefore, not everything should find its way into the file. As mentioned at the beginning, it is important that the records and documents are relevant to the employment relationship.
Introduction of digital personnel files: These 3 requirements are key
When introducing a digital personnel file, you should pay close attention to the following standard requirements:
1. Audit-proof storage in accordance with GoBD
Audit-proof in the context of personnel files means that personnel-related documents are protected against revisions (aka: alterations). When storing documents digitally, it is important to ensure that the documents are true to the original, i.e., they have not been and cannot be altered. They must also be available at any time and immediately. In addition, the documents must be machine-readable (see GoBD, 9. Storage, available here ). Only then can we speak of audit-proof archiving.
2. Authorization management
Personnel files, whether digital or on paper, must be treated and stored with the utmost confidentiality. This means that they must never be made generally accessible. The number of people with access rights should also be kept to a minimum. Not everyone in the HR department should be allowed to view, let alone edit, all personnel-related documents or records.
In the traditional paper-based world, this is often achieved through lockable cabinets and basements to which only a select group of people have access. With a digital record solution, the access rights to be assigned can be defined and set up in no time at all. This ensures that everyone can only view what their role allows them to see.
Special case: Right of access
In principle, employees have the right, in accordance with Section 83 of the Works Constitution Act (BetrVG), to inspect and obtain information about their respective personnel files at any time and without giving reasons. Incidentally, this right continues to apply after the termination of the employment relationship.
In the case of analog personnel files, this involves a considerable amount of effort—both for the employee and for the HR department. For example, an appointment must be coordinated for viewing the file. Furthermore, viewing can only take place on site and under supervision.
In the digital personnel file scenario, the right to access is technically implemented through authorization management. This involves a very simple process: (1) the employee requests access, (2) the HR department grants this authorization for a limited period with just a few clicks in the tool, and (3) finally, the employee can view their documents at their leisure thanks to their limited read access (see Figure 1). Once the period has expired, the read access is automatically revoked.
Figure 1:Procedure for viewing a digital personnel file | isr.de
3. Deadline management: Retention periods / deletion periods
We've all been there: every year, we visit the dusty basement office to clear out old personnel documents. Those who don't do it every year will do it when the company moves or when space simply becomes too tight. So, shelf by shelf and file by file, we go through everything and identify documents that can be destroyed. It's a thankless task.
With a digital personnel file, this tedious task is no longer necessary. Why? With this file, you can digitally monitor and control retention and deletion periods and approve deletion processes with just a few clicks. Advanced systems already include legally compliant deletion routines that automatically suggest deletions. Handy, right?
At a glance: the advantages of a digital personnel file
Our explanations so far have already revealed some of the advantages of digital personnel files. Here is an overview of further advantages:
- More space to breathe: Replacing paper files not only protects the environment, it also frees up space in basements and offices.
- Greater transparency and access to information: Thanks to centralized storage, you can quickly search for and view all documents and information at any time—from anywhere.
- Legal compliance: Thanks to authorization management, everyone only sees what they are allowed to see. Archiving is also audit-proof and GDPR-compliant.
IBM FileNet Content Manager: The dynamic file offers complete flexibility
We offer you a possible tool for mapping a digital personnel file with our IBM FileNet-based file template.
We have been a partner of IBM for almost as long as our company has been in existence. When FileNet was acquired by IBM in 2006, it was clear to us that FileNet is a proven technology for effective and reliable everyday work, which we also wanted to offer our customers. Since then, we have been implementing IBM FileNet Content Manager for customers – both as a classic document storage system and for the design and implementation of various digital records. A highly scalable platform for easy, secure storage and management of all types of documents. Thanks to its modular design, Content Manager is flexible software that can be adapted to customer requirements.
This tool is ideal for optimizing your document management —for example, in your human resources department. It can be optionally expanded to include the following small processes, for example:
- vacation request
- Annual employee reviews (reminder/resubmission function, file minutes, etc.)
- Reminder to submit certificates/diplomas after continuing education courses
Flexible document management for every case
The requirements for digital records generally follow the same pattern and can therefore be used in any company. Whether in human resources, the legal department, or project managementWhat is project management? Project management encompasses all – often standardized – tasks... More. The magic formula is as follows: if you have to juggle a wealth of documents and records on a daily basis, then introducing digital records makes sense.
General information about digital records can be found here.
Cihan Klingsporn
Senior Account & Marketing Manager
Business Process Automation
cihan.klingsporn@isr.de
+49(0)151 422 05 471
