The move to digital personnel files has been presented for years as a no-brainer. Yet, in many companies, paper is still holding its ground. Is this a case of lagging behind, or simply caution?
The main argument is the time saved. A paper file involves a physical search, manual filing, and the risk of loss or duplication. A digital file can be found in a matter of seconds, updates automatically, and can be accessed by the employee themselves via a self-service portal, which automatically reduces the number of enquiries to the HR department for a simple payslip or certificate.
There is also a compliance argument: a certified digital vault offers evidential value and traceability that the HR department’s metal filing cabinet has never had. In the event of an audit or legal dispute, being able to retrieve a time-stamped, non-editable document is a real asset.
Conversely, some HR managers highlight an underestimated risk: data security. An employee file contains extremely sensitive information, such as personal details, health, family circumstances and remuneration. Incorrectly configured access rights, a security breach or a poorly audited service provider could expose the confidentiality of all employees, with potentially serious GDPR consequences.
There is also a human reality: some employees, particularly those in non-managerial roles or from generations less comfortable with digital technology, feel lost when faced with a fully digital HR portal.
Without support, digitisation can create a new form of exclusion rather than simplification.