The European Parliament's Civil Liberties, Justice, and Home Affairs Committee (LIBE Committee) has narrowly voted for a resolution declaring the Privacy Shield inadequate.
The Privacy Shield is a method for US-based companies to transfer personal data from the EU to the US. It was established last year following the invalidation in late 2015 of the Safe Harbour agreement.
The LIBE Committee criticised the regime on two key fronts. Firstly there are concerns about the system for EU citizens' rights to redress due to concerns surrounding the independence of the Ombudsman set up in the US. Secondly, the privacy shield does not prevent surveillance by US authorities.
This resolution does not affect the current status of the EU-US Privacy Shield, however, the European Parliament is set to discuss the Privacy Shield and vote on the LIBE Committee's resolution in early April.
Click here to read the draft motion for a resolution.