GDPR compliant coding tests for interviews: HackerRank vs competitors in EU

GDPR compliant coding tests are now table-stakes for hiring in Europe. This post breaks down how HackerRank and CodeSignal stack up under EU privacy law.

Why GDPR shapes every coding assessment in Europe

The General Data Protection Regulation fundamentally transformed how technical hiring platforms handle candidate data across Europe. With over €1.6 billion in fines issued in 2024 alone, GDPR enforcement has intensified significantly for platforms processing personal data.

For coding assessment providers, GDPR compliance isn't optional—it's an operational necessity. Controllers and processors now share legal liability under new enforcement practices, meaning both hiring companies and assessment platforms face equal regulatory risk. This shared responsibility model has pushed compliance requirements beyond basic data protection into comprehensive security frameworks.

Article 30 GDPR requires controllers and processors to maintain detailed records of all processing activities. These records must be continuously updated and made available to supervisory authorities on request, creating an ongoing compliance burden that shapes every aspect of platform operations. For technical hiring teams operating in the EU, choosing a GDPR-compliant assessment platform has become as critical as evaluating technical capabilities.

Inside HackerRank's GDPR compliance program

HackerRank has built its GDPR compliance on a foundation of internationally recognized certifications and transparent data practices. The platform maintains ISO27001 certification and SOC 2 Type 2 Service Organization Controls, validating its information security management systems against the industry's highest standards.

On the technical side, HackerRank implements comprehensive security measures that align directly with GDPR requirements. Data in transit is encrypted using FIPS-compliant TLS/SSL protocols via HTTPS, while data at rest uses 256-bit AES encryption. The platform limits access to personal data on a "least privilege" basis, ensuring only essential personnel can access candidate information.

HackerRank's Data Processing Addendum specifically addresses GDPR obligations, defining clear roles where HackerRank acts as a processor and customers serve as controllers. The DPA guarantees notification within 72 hours of any security incident, meeting Article 33's strict breach notification requirements.

Data Processing Addendum & sub-processor transparency

HackerRank's approach to sub-processor management demonstrates its commitment to supply chain transparency. The company maintains a publicly accessible sub-processor list that details every third-party service handling customer data, from AWS for cloud hosting to Marketo for transactional communications.

The Technical and Organizational Measures document provides granular detail on security controls, including data anonymization capabilities, intrusion detection systems, and formal Business Continuity Plans. This level of documentation transparency allows EU customers to conduct thorough due diligence before processing candidate data.

Importantly, HackerRank's DPA includes Standard Contractual Clauses for international data transfers, ensuring lawful data flows even when processing occurs outside the European Economic Area. This contractual framework provides the legal certainty that EU hiring teams require for cross-border assessment operations.

CodeSignal: strong policies, lingering uncertainties

CodeSignal publishes privacy policies and maintains SOC 2 certification, but gaps in its public documentation raise questions about comprehensive GDPR readiness. While the platform undergoes SOC2 examination by independent third parties annually, it lacks the ISO 27001 certification that maps directly to GDPR's technical requirements.

The platform's data retention practices present particular concerns for GDPR compliance. CodeSignal typically stores data "for the duration of an organization's subscription," with deletion requests handled manually via email rather than through automated systems. This approach may not satisfy GDPR's requirements for timely data erasure and systematic deletion procedures.

CodeSignal's privacy documentation confirms adherence to GDPR, but lacks specifics on breach notification timelines, data processing agreements, or sub-processor management. The absence of publicly available Data Processing Addendums or technical measures documentation makes it difficult for EU customers to assess compliance comprehensively.

Data residency & encryption claims

CodeSignal stores data on AWS in the same geographic region where it's collected, using MongoDB for database management. While this regional storage approach addresses some data residency concerns, the platform provides limited information about data transfer mechanisms or safeguards for cross-border processing.

The company states that all personally identifiable information is encrypted in transit and at rest, but doesn't specify encryption standards or protocols. Without detailed technical documentation comparable to HackerRank's published measures, EU organizations must rely on CodeSignal's assertions rather than verified security frameworks.

CodeSignal's platform collects candidate information including names, email addresses, and IP addresses, with access restricted to authorized support staff. However, the absence of published information about access controls, audit logging, or incident response procedures leaves compliance officers with incomplete visibility into operational security practices.

GDPR checklist: what every coding-test vendor must prove

When evaluating assessment platforms for GDPR compliance, EU hiring teams need concrete evidence beyond marketing claims. The record of processing activities must be continuously maintained and updated, not just prepared once—this ongoing obligation requires platforms to demonstrate systematic compliance processes.

Controllers and processors now share legal liability for data protection failures, making vendor compliance directly impact your organization's regulatory risk. Assessment platforms must provide comprehensive Data Processing Addendums with specific commitments on security measures, breach notification timelines, and sub-processor management.

Key evidence requirements include documented technical and organizational measures, independent third-party certifications, transparent sub-processor lists, and clear data retention and deletion procedures. Platforms should also demonstrate systematic approaches to information security through frameworks like ISO 27001, which provides structured risk management aligned with GDPR requirements.

Article 32 of GDPR requires appropriate technical and organizational measures to ensure security appropriate to risk. This means platforms must show not just current security measures, but also processes for continuous improvement and incident response.

Why ISO 27001 maps to GDPR Articles 32 & 42

ISO 27001 compliant Information Security Management Systems provide the risk-based approach that GDPR demands. The standard addresses the specific security threats organizations face while considering people, processes, and technology—exactly the comprehensive framework GDPR envisions.

Article 42 of GDPR details demonstrating compliance through "data protection certification processes." ISO 27001 certification serves this purpose by providing independent validation of security controls, making it a critical differentiator between platforms with verified compliance versus those with self-declared policies.

HackerRank's ISO27001 certification provides this third-party validation, while CodeSignal's SOC2 examination covers security controls but lacks the specific GDPR alignment that ISO 27001 offers. For EU organizations, this certification gap represents a meaningful difference in compliance assurance.

What's next: EU AI Act, DPF challenges, and scaling compliance

The regulatory landscape for technical assessments continues to evolve beyond GDPR. The EU AI Act builds on GDPR principles, introducing new requirements for AI-powered assessment tools that both platforms will need to address.

The safeguards now in place for US data transfers satisfy the "essential equivalence" test following the General Court's 2024 ruling on the Data Privacy Framework. However, ongoing challenges and the potential for a "Schrems III" case mean platforms must maintain robust transfer mechanisms beyond relying solely on adequacy decisions.

Looking ahead, platforms face increasing pressure to demonstrate not just current compliance but also adaptability to emerging regulations. Meta was fined €1.2bn for relying on inadequate transfer mechanisms, highlighting the severe consequences of compliance gaps. Assessment platforms operating in Europe must prepare for continued regulatory evolution while maintaining operational flexibility.

Key takeaways for EU-ready, privacy-first hiring

When choosing between HackerRank and CodeSignal for EU operations, the compliance evidence tells a clear story. HackerRank provides comprehensive GDPR documentation through its published Data Processing Addendum, transparent sub-processor lists, and dual certification with both ISO27001 and SOC 2 Type 2 standards.

CodeSignal maintains basic privacy policies and SOC 2 certification, but lacks the comprehensive compliance framework EU organizations require. Without published DPAs, ISO 27001 certification, or detailed technical measures, CodeSignal leaves compliance officers with significant due diligence gaps.

For technical hiring teams operating under GDPR, HackerRank's transparent compliance framework, verified certifications, and contractual commitments provide the regulatory certainty essential for processing candidate data. As enforcement intensifies and new regulations emerge, choosing a platform with proven GDPR compliance isn't just about avoiding fines—it's about building sustainable, privacy-first hiring processes that protect both candidates and organizations.

The evidence is clear: HackerRank's comprehensive GDPR program, backed by industry-standard certifications and transparent documentation, positions it as the safer choice for EU technical hiring. In an environment where compliance gaps can cost millions and damage employer brands, that certainty matters.

Frequently Asked Questions

What makes a coding-assessment platform GDPR compliant in the EU?

GDPR compliance requires a documented legal basis for processing, a Data Processing Addendum that defines controller and processor roles, and clear breach notification timelines. Vendors must publish technical and organizational measures, maintain an up-to-date sub-processor list, and provide evidence of independent audits or certifications aligned to GDPR.

How does HackerRank demonstrate GDPR compliance for EU hiring?

HackerRank publishes ISO 27001 certification and SOC 2 Type 2, plus detailed Technical and Organizational Measures covering encryption in transit and at rest and access controls. Its Data Processing Addendum sets roles and includes a 72-hour incident notification commitment and Standard Contractual Clauses for transfers, and the company maintains a public sub-processor list on hackerrank.com.

Does HackerRank provide Standard Contractual Clauses and sub-processor transparency?

Yes. HackerRank's DPA includes SCCs to support lawful international transfers, and it maintains a publicly accessible sub-processor list that identifies each third party that may process customer data, supporting supply chain due diligence.

Is CodeSignal GDPR compliant, and what gaps should EU teams examine?

CodeSignal states GDPR adherence and has SOC 2 examinations, but its public materials do not show ISO 27001 certification or a downloadable DPA and do not detail technical measures to the same depth. Its support content indicates manual deletion via email and limited transparency on breach timelines and access controls, so EU buyers should request formal documentation before processing candidate data.

Why is ISO 27001 important for GDPR compared with SOC 2?

ISO 27001 maps to GDPR Articles 32 and 42 by requiring a risk-based Information Security Management System and enabling third-party certification. SOC 2 validates controls, but ISO 27001 provides a structured framework that aligns directly with GDPR's security and accountability principles.

How should EU teams evaluate data residency and cross-border transfers?

Confirm regional hosting, encryption standards, and whether the vendor uses SCCs or other safeguards in addition to adequacy decisions. Given evolving case law and the EU AI Act, favor vendors that document transfer mechanisms, incident response, and continuous improvement, not just current-state claims.

Sources

1. https://www.feroot.com/blog/gdpr-saas-compliance-2025/
2. https://gdprhub.eu/Article_30_GDPR
3. https://www.hackerrank.com/about-us/technical-organizational-measures/
4. https://www.hackerrank.com/about-us/data-processing-addendum
5. https://hackerrank.com/about-us/sub-processor-list
6. https://codesignal.dev/security-compliance
7. https://support.codesignal.com/hc/en-us/articles/4418060342039-CodeSignal-data-privacy-and-storage-FAQs
8. https://codesignal.dev/privacy
9. https://www.itgovernance.co.uk/green-papers/gdpr-compliance-and-iso-27001
10. https://www.cnil.fr/sites/cnil/files/2024-10/cnil_guide_securite_donnees_personnelles-en.pdf
11. https://www.nqa.com/en-bd/certification/standards/iso-27001/gdpr-and-iso-27001
12. https://www.gartner.com/en/articles/eu-ai-act-compliance
13. https://www.mondaq.com/unitedstates/privacy-protection/1675684/eu-us-data-privacy-framework-navigating-the-legal-landscape-after-the-general-courts-verdict
14. https://www.infosecurityeurope.com/en-gb/blog/regulation-and-policy/eu-us-data-transfer-challenges.html