Private employers in New Jersey need to be aware of the latest employee privacy law that will take effect on April 18, 2022. A. B. 3950 prohibits employers from knowingly using a “tracking device” in a vehicle used by an employee without providing written notice to the employee.

Employers that violate this new law can be subject to civil penalties of up to $1,000 for a first violation and up to $2,500 for each subsequent violation. The law does not apply to the Department of Corrections, the State Parole Board, county correctional facilities, any state or local government entity, or any public transportation system, whether operated by a public or private company. The law also defines a tracking device as “an electronic or mechanical device which is designed or intended to be used for the sole purpose of tracking the movement of a vehicle, person, or device but shall not include devices used for the purpose of documenting employee expense reimbursement.”

GPS tracking of employee vehicles is not new, as several other states have laws regulating tracking devices on vehicles. Some states, such as Illinois, require the vehicle owner’s consent. In Rhode Island, the operator and all occupants of the vehicle must consent to tracking. Rhode Island does have an exception that allows a business to use a tracking device to track vehicles owned or leased by the business, even if they are driven by employees.

Tracking laws vary from state to state so it is always wise to check on a state law before using any type of tracking technology in an employee vehicle.