HR Compliance & HR Managed Services

The Electronic Personnel File (eFile) opens new opportu­nities in 2025 – the eFile has become indispensable

On 18 October 2024, the Federal Council passed the Fourth Bureaucracy Relief Act (BEG IV), which came into force on 1 January 2025. The BEG IV offers companies significant opportunities for modernizing their records management and document management, particularly in HR departments.

The past has shown that companies without eFiles or poorly managed ones often face significant challenges such as:

• Inefficiency and time loss: Missing or delayed information can impair a company's responsiveness by providing information for decision-making processes too late and unnecessarily delaying enquiries from employees.
• Limited data analysis: Without eFiles, it is difficult to conduct comprehensive data analyses, potentially overlooking important trends and patterns - an obstacle to strategic planning in HR.
• Reduced transparency: Lack of transparency and traceability in HR management can lead to conflicts within the workforce and with co-determination councils.
• Data protection risks: Inadequate protection of personal data, e.g. due to outdated or poorly maintained access rights, can lead to severe reputational damage and liability risks. Physical files are often insufficiently protected against loss, theft or damage from external circumstances, resulting in irrevocable data loss. They also incur high storage costs for retention and archiving.
• Compliance issues: Errors or gaps in the documentation can have legal consequences

To overcome these challenges and prevent future problems, it is crucial to invest in a well-structured and reliable eFile solution that meets the company’s requirements and ensures the security and integrity of the data.

By Nicole Elert, Stephan Weber and Julia Hillejan