State Regulatory Developments

NY Privacy Law Regarding Electronic Monitoring of Employees Goes into Effect

The state of New York recently passed legislation requiring employers who engage in electronic monitoring of employee communications to provide prior written notice upon hiring to all employees of such monitoring.  The law went into effect on May 7, 2022.

The law applies to employers with a place of business in the state of New York, other than the state or any political subdivision of the state, who monitor employees’ telephone communications, email, or internet access or usage by any electronic device or system.  Any processes that are not targeted to monitor or intercept the use of a particular individual but that are performed solely for the purpose of system maintenance or protection are exempt.

The written notice must advise the employee that any and all telephone conversations or transmissions, electronic mail or transmissions, or internet access or usage by an employee may be subject to monitoring at any and all times and by any lawful means.  The notice must be in writing, in an electronic record, or in another electronic form and must be acknowledged by the employee either in writing or electronically.  Each employer is also required to post a notice of electronic monitoring in a conspicuous place that is readily available for viewing by the employees who are subject to electronic monitoring. 

Employers who are found to violate the law will receive a civil penalty of $500 for a first-time violation, $1,000 for a second violation, and $3,000 for a third and any subsequent violation(s).