On May 2, 2012, Maryland Governor O’Malley signed into law a bill that protects employees and applicants against mandatory disclosure of social media passwords and other personal account information. This appears to be a first in the nation and will take effect October 1, 2012. §3-712 of the Maryland Labor and Employment Code states that an employer “may not request or require that an employee or applicant disclose any user name, password, or other means for accessing a personal account or service through an electronic communications device.” As such, an employer may not “discharge, discipline, or otherwise penalize or threaten to discharge, discipline, or otherwise penalize an employee for an employee’s refusal to disclose” any information related to social media and other personal accounts. The law also protects applicants and prohibits employers from refusing to hire applicants who refuse to provide such information.
However, there is a limitation: An employer may require such information to “conduct[ ] an investigation for the purpose of ensuring compliance with applicable securities or financial law, or regulatory requirements” “based on the receipt of information about the use of a personal web site, Internet web site, web-based account, or similar account by an employee for business use.”
The law is not one-sided, however. It also prohibits employees from “download[ing] unauthorized employer proprietary information or financial data to an employee’s personal web site, an Internet web site, a web-based account, or a similar account.” The law permits an employer to conduct an investigation of an “employee’s actions” concerning the statute’s prohibited downloads “based on the receipt of information about the use of a personal web site, Internet web site, web-based account, or similar account by an employee for business purposes.”
Just what information falls within the exceptions noted will have to be determined by subsequent court action and discussion.
