Understanding GDPR Fines and Penalties

Non-compliance with GDPR can result in significant financial and reputational consequences.

GDPR allows for two tiers of administrative fines:

• Up to €10 million or 2% of annual global turnover—whichever is higher—for violations of organizational obligations (e.g., failure to maintain proper records or notify of a breach).

• Up to €20 million or 4% of annual global turnover—whichever is higher—for violations of core principles (e.g., unlawful processing, failure to obtain consent, violation of data subject rights).

Fines are determined based on factors such as:

• Nature, gravity, and duration of the violation

• Intentional or negligent behavior

• Mitigation efforts

• Previous infringements

• Degree of cooperation with DPAs

To mitigate risk, organizations must build robust GDPR programs and integrate them with broader security and compliance frameworks such as ISO 27001, SOC 2, and PCI DSS.