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Creating Effective Data Retention Policies

iqworks TeamNovember 20, 20256 min read
Creating Effective Data Retention Policies

Data retention is a fundamental aspect of data protection. Keeping data longer than necessary increases risk and potentially violates regulations that require storage limitation.

Why Retention Policies Matter

Regulatory Compliance

Both GDPR and DPDPA require organizations to:

  • Define retention periods for different data types
  • Delete data when no longer needed
  • Document and justify retention decisions

Risk Reduction

Data you don't have can't be:

  • Breached
  • Misused
  • Subject to legal discovery
  • A liability

Cost Optimization

Storing less data reduces:

  • Storage costs
  • Backup complexity
  • Search and retrieval times
  • Compliance overhead

Building Effective Policies

1. Inventory Your Data

Start by understanding what data you have:

  • Types of personal data collected
  • Business purposes for each type
  • Systems where data is stored
  • Current retention practices

2. Define Retention Periods

For each data type, determine:

  • Legal requirements: Statutory retention periods
  • Business needs: Operational requirements
  • Contractual obligations: Partner or customer agreements

Always choose the shortest period that meets all requirements.

3. Document Your Rationale

For each retention period, record:

  • The applicable legal basis
  • Business justification
  • Review frequency
  • Deletion procedure

4. Implement Technical Controls

Don't rely on manual processes:

  • Automated deletion workflows
  • Retention tags and metadata
  • Archive vs. active storage
  • Audit trails for deletions

Common Retention Categories

Data TypeTypical RetentionRationale
Customer transactions7 yearsTax and audit requirements
Marketing consentUntil withdrawn + 1 yearCompliance evidence
Employee recordsDuration + 6 yearsEmployment law
Website analytics26 monthsBusiness analysis
Support tickets3 yearsService improvement

Note: Always verify requirements for your jurisdiction and industry.

Challenges and Solutions

Legacy Systems

Old systems may not support automated deletion. Solutions:

  • Implement middleware for deletion
  • Plan system modernization
  • Manual deletion with documentation

Backup Retention

Backups complicate deletion. Consider:

  • Shorter backup retention windows
  • Granular backup strategies
  • Encryption-based deletion

Legal Holds

Litigation may require suspending deletion:

  • Implement hold procedures
  • Track affected data
  • Resume deletion after hold lifted

How iqworks Helps

iqworks automates retention policy enforcement:

  • DiscoverIQ identifies data subject to retention policies
  • ClassifyIQ tags data with retention categories
  • ComplyIQ manages deletion workflows and documentation

Ready to optimize your data retention? Request a demo to learn more.