Changes to records retention laws are happening fast, and businesses need to stay on top of them. Keeping records for the right amount of time isn’t just about being organized—it’s about avoiding fines, lawsuits, and other serious problems. Staying informed about these updates can help your organization stay compliant and protected.
What’s Changing?
New rules are expanding how long businesses need to keep certain records. For example:
Longer Retention Periods
States like Illinois have increased retention requirements for employee records, extending the timeline from three years to five years. Other states, such as Washington, have introduced 32 new record categories and adjusted retention periods for 37 existing ones, reflecting a broader push for detailed record-keeping.
Industry-Specific Updates
Healthcare organizations face stricter rules under HIPAA, requiring non-medical compliance documents to be retained for at least six years. Some Medicare-related records require even longer retention periods.
Digital Transformation Mandates
Governments and industries are moving away from paper-based systems. Agencies like the National Archives and Records Administration (NARA) now require full electronic records management.
Revised Disposal Guidelines
Updated rules specify secure destruction methods for expired records to prevent data breaches. For instance, HIPAA mandates secure disposal of protected health information (PHI) to avoid unauthorized disclosures.
Why It Matters
Businesses that fail to comply risk fines, lawsuits, and even damage to their reputation. For example, HIPAA violations can result in fines ranging from $100 to $50,000 per incident. Beyond the financial risks, poor record management can make companies vulnerable to data breaches or legal disputes.
Simple Steps for Compliance
Here are some easy ways your business can stay ahead:
- Appoint a Records Manager: Assign a dedicated professional or team to oversee records retention.
- Conduct a Comprehensive Records Audit: Inventory all your records, physical and digital, and classify them based on type, function, and legal retention requirements.
- Automate Retention Policies: Use document management systems (DMS) to automatically apply retention schedules, track records through their lifecycle, and securely dispose of expired files. Automation reduces errors and saves time.
- Implement Access Controls: Protect sensitive records by limiting access to authorized personnel only.
- Regularly Update Policies: Laws change frequently, so review your retention policies at least annually. Work with legal experts like IRCH to ensure compliance.
How IRCH Can Help
IRCH is here to make compliance with records retention laws simple. We specialize in creating tailored retention plans and setting up secure digital storage systems that fit your needs. Reach out to IRCH today and let them help you protect your business while staying compliant.
