IN THE NEWS: Attorney Daniel A. Schwartz Comments on the Importance of Understanding State Employment Laws Before Using Cloud Applications for HR Processes

Pullman & Comley Labor and Employment attorney Daniel A. Schwartz was quoted in an article in HRMagazine, published by the Society for Human Resource Management, about the use of cloud computing to store and access HR data.  In cloud computing, writes reporter Dave Zielinski, "software resides on the vendor's servers running on the Internet, or 'in the cloud,' " rather than on a company's computers.

According to Dan, companies should be aware that some states have laws that require certain employee records to be kept at the employer's place of business for specified periods, and storing such data "In the cloud" may be a violation of that requirement.  If the company is not aware of its state employment laws, "the cost savings realized from going to cloud applications can be eaten up in legal fees later," he says.