NJ Requires Employers to Notify Employees of the Use of Tracking Devices

On January 18, 2022, Governor Murphy signed Assembly Bill No. 3950 requiring employers to provide written notice to employees prior to the use of tracking devices in vehicles used by employees. This act goes into effect on April 18, 2022. Click here to see bill A3950

The requirement applies regardless of who owns the vehicle. The law defines a tracking device as an electronic or mechanical device that is “designed or intended to be used for the sole purpose of tracking the movement of a person, vehicle, or device.” For example, GPS monitoring devices used exclusively to track an employee’s location are covered. The law does not apply to devices used for the purpose of expense reimbursement (e.g., a device that tracks mileage).

The law covers employers that have one or more employees in New Jersey, except for employers that provide public transportation. Employers do not have to comply with this law to the extent that doing so would violate a federal regulation.

Action Item
If you currently use tracking devices, tell affected employees about your practice in writing by April 18. After that date, be sure to provide written notice to new hires or other employees who will begin driving tracked vehicles. In both cases, keep a copy of the notice so you can demonstrate compliance. If in doubt about whether you are using a tracking device as defined by the law, we recommend you contact your association’s counsel.