Storing and organizing performance review data - SharePoint lists or something else?

My team has been asked to move our performance review records from a legacy HR system into something within M365. Someone suggested SharePoint lists but I'm worried about permissions (employees shouldnt see each others reviews), workflow complexity, and whether it'll scale. We have about 400 employees. Is SharePoint the right tool for this or should I be looking at something purpose-built that integrates with our M365 environment?