Data protection, digital sovereignty and geopolitical risk are becoming increasingly relevant when selecting Background Check providers. For Spanish and European companies, where sensitive data is stored, who controls it and which jurisdiction applies are becoming strategic considerations.


Spanish companies are becoming increasingly international. They recruit professionals across borders, manage global teams and need to verify information from multiple jurisdictions. At the same time, Europe is reassessing strategic dependencies in areas such as technology, cloud infrastructure, cybersecurity and data processing. This raises an important question for HR, Compliance and Risk Management:


Where is the data used for Background Checks processed and stored, who controls it, and under which jurisdiction?


Background Checks involve sensitive data

Depending on the position, country and applicable legal basis, a professional Background Check may include information relating to identity, employment history, education, conflicts of interest, sanctions, political exposure, financial circumstances, public sources or media coverage.

The guiding principle should therefore not be:


“The more information, the better.”

Instead:

“Only the information that is necessary, legally permissible and proportionate to the risk of the position.”


Spain provides a good example. Data protection legislation places clear limits on certain types of screening. The processing of criminal-record information during recruitment, for instance, is subject to particularly strict legal requirements. Conducting Background Checks in Europe therefore requires much more than access to international databases. It requires an understanding of the local legal framework.


European Compliance by Design

For a Spanish company, working with a specialised European provider can help reduce the complexity of its data protection architecture. The GDPR establishes specific requirements when personal data is transferred outside the European Economic Area. Legal mechanisms exist for international data transfers. However, there is an important difference between being legally able to transfer data internationally and avoiding an international transfer where it is not necessary. Particularly when dealing with candidate and employee information, reducing the number of transfers, jurisdictions and parties involved in the processing chain can contribute to a simpler and more controllable structure.


Data sovereignty is becoming a strategic issue

For many years, data location was primarily a technical question. Today, it is increasingly a strategic one. Europe is discussing how to strengthen digital sovereignty and reduce certain technological dependencies. Geopolitical tensions, cybersecurity risks and the concentration of digital infrastructure have moved these questions onto the agendas of executive teams and boards. HR is part of this discussion too.


Candidate and employee data is among the most sensitive information an organisation manages. Companies should therefore understand not only where their data is stored, but also who processes it, which jurisdiction the provider operates under, which subprocessors are involved and from which countries the data can be accessed.


Global Screening does not require Global Data Storage

There is an important distinction:


Conducting Background Checks globally does not mean that the underlying data has to be stored globally.


A Spanish company may need to screen someone who previously studied or worked in Switzerland, Germany, the United States, Brazil, India or Singapore.

Its provider therefore needs international capabilities and an understanding of which checks are legally and practically possible in each country.

The platform, case management and central storage of sensitive data can nevertheless remain in Europe. This makes it possible to combine:


Global Screening Capability + European Data Governance.


Pure Play European does not mean European Only

Choosing a specialised European provider does not mean restricting Background Checks to Europe. Spanish and European companies need providers capable of supporting them globally. The difference lies in where those global activities are governed, which legal framework applies to the provider and where sensitive data remains. The model can be summarised as:


European ownership. European data governance. Global screening capabilities.


The Validato approach

This is precisely the model we follow at Validato. As an independent European provider of digital Background Checks and Human Risk Management, we combine a European approach to data protection and governance with the ability to conduct screenings worldwide. Companies can use Validato to conduct Background Checks internationally, always within the legal and practical possibilities of the respective country. At the same time, central processes and the associated data are processed and stored in Switzerland and the EU. Our objective is not to collect as much information about an individual as technically possible. It is to verify the information that is genuinely relevant to the specific position – legally, proportionately and based on risk. In an environment shaped by geopolitical tensions, cybersecurity risks and growing concerns around digital sovereignty, choosing a Background Check provider is therefore no longer simply an HR or Compliance decision.


It can also become part of a company’s data strategy, Third-Party Risk Management and Human Risk Management.


European roots. Global reach. Human Risk Management made in Europe.