Protecting Company Assets: How an Employee Laptop Agreement Can Safeguard Your Business

Learn how an Employee Laptop Agreement can protect your business assets and data. Discover key clauses, UK compliance tips, and download a free agreement template.

author

James Rowland

Commercial Director James leads Account Management, Sales and Marketing at Neathouse Partners.

Date

04 November 2024

Updated

01 October 2024
4 min read
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In today’s workplace, company-issued laptops are commonplace, especially with the rise of remote and flexible working.

While providing employees with technology to work efficiently can boost productivity, it also poses risks if clear guidelines are not in place.

An Employee Laptop Agreement ensures that both employer and employee understand their responsibilities, ultimately safeguarding your business assets and sensitive data.

This guide covers the essentials, helping you navigate best practices and legal requirements within the UK.

Downloadable Employee Laptop Agreement Template

Setting up an Employee Laptop Agreement may seem complex, but it’s essential for safeguarding your business. To make the process easier, we’ve created a Employee Laptop Agreement Form Template that includes all the key clauses mentioned below. 

 

Why Do You Need an Employee Laptop Agreement?

A laptop agreement is a formal document outlining the terms of use for company-issued laptops.

It serves as a mutual understanding that company property must be handled with care, and it sets expectations regarding the acceptable use of equipment.

This isn’t only about preventing damage or loss; it also protects your business from potential legal issues, data breaches, and compliance risks.

Let’s dive into why an employee laptop agreement is essential and what it should cover.

Key Benefits of a Laptop Agreement

Protection Against Data Breaches and Cybersecurity Risks

When an employee uses a company laptop, they often have access to sensitive information.

Without proper guidelines, employees might unintentionally expose the business to cyber risks, such as using unsecured networks or visiting unauthorised sites.

A laptop agreement helps reinforce company policies on data protection, reducing the likelihood of costly security breaches.

Asset Management and Accountability

Laptops are a significant investment, and clear terms can ensure they are well-maintained.

An agreement establishes that employees are accountable for the device and outlines expectations for care, usage, and reporting any damage immediately.

This can reduce repair costs and the need for frequent replacements.

Clarifying Personal vs. Professional Use

Allowing personal use of company laptops is common, but it comes with risks.

A laptop agreement helps define boundaries, such as restricting certain types of personal activities, which could lead to malware or legal risks.

By clarifying these points, the agreement protects the device and your business from unnecessary exposure.

Essential Clauses to Include in Your Employee Laptop Agreement

An effective laptop agreement should include these key clauses:

Care and Maintenance Obligations

Clearly outline the employee’s responsibilities for taking care of the device.

Include instructions on proper storage, protection from physical damage, and regular software updates.

For example: "Employees must ensure laptops are kept in a secure location when not in use and avoid leaving them in unattended vehicles or public areas."

Acceptable Use Policy

Define what constitutes acceptable and prohibited use of the device.

This should include a restriction on using unauthorised software, accessing potentially harmful websites, or storing illegal content.

For example: "The laptop is provided for work-related tasks, and personal use should be kept minimal and within legal limits. Employees are strictly prohibited from downloading unauthorised software or visiting websites that could pose cybersecurity risks."

Data Security and Privacy Expectations

To comply with UK GDPR, outline how employees should handle sensitive data.

This might include encryption requirements, using VPNs, and reporting any security incidents immediately.

A sample clause: "Employees must adhere to company data protection policies and use secure connections when accessing confidential data. Laptops should be encrypted, and any suspected breach must be reported within 24 hours."

Return and Recovery of Equipment

Describe the return process for when employment ends or if the device is replaced.

This helps prevent loss of company property and ensures that data is securely erased or retained.

Example wording: "Upon termination of employment, employees are required to return the laptop and all associated accessories. The IT department will facilitate data recovery, and devices must be handed back within five working days."

Consequences of Non-Compliance

Specify the repercussions if employees fail to follow the agreement.

This could include disciplinary actions or even covering the cost of repairs if the device is wilfully damaged.

Example: "Non-compliance with the laptop agreement may result in disciplinary action up to and including termination. In cases of negligence or wilful damage, the company may seek reimbursement for repair or replacement costs."

Legal and Compliance Considerations

In the UK, businesses are subject to stringent data protection laws under the General Data Protection Regulation (GDPR).

If company laptops are used to handle personal or sensitive data, businesses are required to take measures to prevent unauthorised access, loss, or destruction of data.

Here’s how a laptop agreement can support compliance:

Device Security: By mandating encryption and strong password requirements, you help ensure that, even if a laptop is lost or stolen, data remains protected.

Data Minimisation: Encourage employees to avoid storing unnecessary personal data on laptops, reducing the potential impact of a breach.

Incident Reporting: Establish a clear protocol for employees to report security incidents, allowing you to respond promptly in line with GDPR’s 72-hour breach notification rule.

For example, you could include a clause like: "Employees must not store sensitive personal data on their laptops unless authorised. If a device containing personal data is lost or stolen, the employee must notify the IT department within 24 hours to ensure appropriate action is taken."

Rolling Out the Agreement: Best Practices

To ensure the agreement is well-received and understood, follow these steps:

Introduce the Policy During Onboarding

Make the laptop agreement part of your onboarding process.

This sets expectations from the start and ensures new employees understand their responsibilities before they begin using company equipment.

Regular Reviews and Acknowledgement

It’s wise to periodically remind employees of their obligations.

Annual sign-offs on the agreement, especially when policies or device features are updated, can reinforce the importance of compliance.

Provide Training on Device Security

Educate employees about safe practices, such as avoiding unsecured Wi-Fi, recognising phishing attempts, and understanding what to do if a device is lost or stolen.

Practical training can empower employees to protect company assets effectively.

Enforce the Agreement Fairly

If breaches occur, address them consistently and fairly, applying the same standards across the board.

This prevents misunderstandings and sets a precedent for the importance of compliance.

 

A well-drafted laptop agreement is a small but powerful tool in protecting your business from preventable risks, costly repairs, and data security issues.

By implementing this agreement, you not only clarify employee responsibilities but also demonstrate a proactive approach to safeguarding your company's data and equipment.

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