AI MONITORING AND EMPLOYEE PRIVACY IN THE WORKPLACE
Artificial intelligence is transforming how companies manage their workforce — from hiring and scheduling to productivity tracking and surveillance. But as AI becomes more common in California workplaces, so do concerns about employee privacy, fairness, and consent.
At Stilz Law, we’re seeing a sharp rise in cases where technology crosses legal boundaries. Here’s what California employees need to know about how AI is being used on the job — and what your rights are when it comes to workplace monitoring.
WHAT IS AI MONITORING IN THE WORKPLACE?
AI monitoring refers to the use of automated tools, algorithms, or machine learning systems to observe, analyze, or make decisions about employees.
Common examples include:
Productivity tracking software that monitors keystrokes, mouse activity, or idle time.
Facial recognition and video analytics that track presence or engagement during meetings.
AI-driven performance evaluations that use data to score employees or predict “attrition risk.”
Automated hiring systems that screen resumes or analyze video interviews using algorithms.
While employers claim these tools improve efficiency, they also raise serious privacy and discrimination risks — especially if employees aren’t told how they’re being monitored or how data is used.
THE LEGAL LANDSCAPE: CALIFORNIA PRIVACY PROTECTIONS
California leads the nation in digital privacy protections, and those laws increasingly extend to workplace technology.
1. CALIFORNIA CONSUMER PRIVACY ACT (CCPA) & CPRA
Under the CCPA, amended by the California Privacy Rights Act (CPRA) in 2023, employees have specific rights when it comes to data collection and use.
Employers must:
Disclose what data they collect about workers (including surveillance data).
Allow employees to access, correct, or delete certain personal information.
Prohibit retaliation for exercising privacy rights.
Failing to comply can lead to civil penalties and private lawsuits.
2. FEHA (FAIR EMPLOYMENT AND HOUSING ACT)
If AI tools are used in ways that discriminate—for example, by unfairly scoring older workers, people with disabilities, or minority employees—employers may violate FEHA’s protections against discrimination and bias.
AI systems that lead to disparate impact (even unintentionally) can expose employers to liability.
3. CALIFORNIA CONSTITUTION – RIGHT TO PRIVACY
California’s Constitution expressly recognizes a right to privacy—a rare protection at the state level.
Employers must balance legitimate business needs with employees’ reasonable expectations of privacy. Overly invasive surveillance (like constant camera or audio monitoring) can cross that line.
PROPOSED CALIFORNIA LEGISLATION ON AI IN EMPLOYMENT (2025–2026)
The California Legislature has introduced bills that could reshape how AI and monitoring tools can be used at work:
AB 2930 (Automated Decision Systems Accountability Act) – Would require employers using AI in hiring, promotion, or termination to:
Conduct impact assessments for bias or discrimination, and
Provide notice and transparency to employees and applicants.
Proposed Worker Surveillance & Transparency Act – Seeks to restrict constant AI monitoring and require explicit employee consent for tracking outside of work hours.
Upcoming CPPA Regulations (2026) – The California Privacy Protection Agency is drafting rules specifically governing AI use in employment contexts, including notice, consent, and fairness testing.
If these become law, employers will face strict new obligations — and employees will have powerful new rights.
HOW AI MONITORING CAN VIOLATE EMPLOYEE RIGHTS
AI systems can cross legal lines when they:
Collect personal data without notice or consent
Use facial recognition or webcam data during remote work
Analyze speech, tone, or emotions to evaluate performance
Disproportionately flag certain groups as “low performers”
Track workers off the clock through GPS or mobile apps
Each of these may violate privacy, wage, or anti-discrimination laws depending on the circumstances.
WHAT EMPLOYEES CAN DO
If you suspect you’re being monitored by AI systems, take these steps:
Request information in writing under CCPA/CPRA about what data your employer collects and how it’s used.
Document everything — especially screenshots, notices, or emails referencing monitoring software.
Ask HR for clarification on data retention and review policies.
Consult an employment attorney if you experience retaliation or feel your rights have been violated.
Remember: Even cutting-edge technology cannot override basic employee rights to privacy, fairness, and dignity.
HOW STILZ LAW PROTECTS CALIFORNIA EMPLOYEES
At Stilz Law, we represent workers whose rights are violated by unlawful monitoring, discrimination, or retaliation. Our firm actively tracks California’s evolving AI and privacy laws to stay ahead of employer abuses.
We’ve handled cases involving:
Digital tracking and time theft disputes
Wrongful termination after automated “performance” reviews
Retaliation for objecting to privacy violations
We fight to ensure technology serves employees — not the other way around.
CONTACT STILZ LAW FOR HELP
If your employer uses AI or monitoring tools that invade your privacy or affect your job unfairly, you may have legal recourse.
Contact Stilz Law for a free, confidential consultation today.