As we have discussed in prior posts, AI-enabled smart glasses are rapidly evolving from niche wearables into powerful tools with broad workplace appeal — but their innovative capabilities bring equally significant legal and privacy concerns. In Part 1, we addressed compliance issues that arise when these wearables collect biometric information. In Part 2, we covered all-party consent requirements and AI notetaking technologies.
In this Part 3, we consider broader privacy and surveillance issues, including from a labor law perspective. Left uncontrolled, the nature and capabilities of AI smart glasses open the door to a range of circumstances in which legal requirements as well as societal norms could be violated, even inadvertently. At the same time, a pervasive surveillance environment fueled by the technologies such as AI smart glasses may spur arguments by some employees that their right to engage in protected concerted activity has been infringed.
The Risk
When employers provide AI glasses to employees or permit their use in the workplace, they can potentially create continuous and/or intrusive surveillance conditions that may violate the privacy rights of individuals they encounter, including employees, customers, and others. Various state statutory and common law limit surveillance, and new laws are emerging that would target workplace surveillance technologies. For example, California Assembly Bill 1331, introduced in early 2025, sought to limit employer surveillance and enhance employee privacy. The bill would have banned monitoring in private off-duty spaces (like bathrooms, lactation rooms) and prohibited surveillance of homes or personal vehicles. California Governor Newsom vetoed this bill in October.
However, other law in California, notably the California Consumer Privacy Act (CCPA), seeks to regulate surveillance that would involve certain personal information. Under the CCPA, continuous surveillance may trigger a risk assessment obligation. See more about that here. The CCPA and several other states that have adopted a comprehensive privacy law require covered entities to communicate about the personal information they collect from residents of those states. Covered entities that permit employees to use these devices in the course of their employment may nee to better understand the type of personal information those employees’ glasses are collecting.
The National Labor Relations Board (NLRB) generally establishes a right of employees to act with co-workers to address work-related issues. Widespread surveillance and recording could chill protected concerted activity – employees might be less likely to engage with other employees about working conditions under such circumstances. Of course, introducing AI glasses in the workplace may trigger an obligation to bargain under the NLRA.
Relevant Use Cases
- Warehouse workers using AI glasses for inventory management that also track movement patterns, productivity metrics, and conversations of coworkers
- School employees that use AI glasses while interacting with minor students in a range of circumstances
- Field service technicians wearing glasses that record all customer interactions as well as communications with coworkers
- Office workers using AI glasses with note-taking features during internal meetings, capturing discussions among employees
- Healthcare workers in a variety of settings, purposefully or inadvertently, capturing images or data of patients and their families
- Manufacturing employees whose glasses document work processes while also recording conversations with coworkers
Why It Matters:
Connecticut, Delaware, and New York require employers to notify employees of certain electronic monitoring. California’s CCPA gives employees specific rights over their personal information, including the right to know what’s collected and the right to deletion. These protections were strengthened in recently updated regulations under the California Privacy Rights Act which created, among other things, an obligation to conduct and report on risk assessments performed in connection with certain surveillance activities.
Union environments face additional scrutiny. Surveillance may constitute an unfair labor practice requiring collective bargaining. The NLRB has issued guidance limiting employers’ ability to ban workplace recordings because such bans can interfere with protected rights. However, continuous AI-powered surveillance could still create a chilling effect that violates labor law.
Practical Compliance Considerations:
- Implement clear policies: Be deliberate about whether to permit these wearables in the workplace. And, if so, establish policies limiting when and where they may be used, and what recording features can be activated and under what circumstances.
- Provide notice: Providing written notice about AI glasses capabilities, including what data is collected, how it’s processed, and how it may be used.
- Perform an assessment: Conduct privacy impact/risk assessments before deploying AI glasses in the workplace, including when interacting with customers.
- Consider bargaining obligations, protected concerted activity rights: If deploying AI glasses in union environments, engage in collective bargaining about their use, assess PCA rights.
- Establish technical limits and safeguard: Consider implementing technical controls like automatic disabling of recording in break rooms, bathrooms, and areas designated for private conversations.
Conclusion
AI glasses represent transformative technology with genuine business value, from hands-free information access to enhanced productivity and innovative customer experiences. The 210% growth in smart glasses shipments in 2024 demonstrates their appeal. But the legal risks are real and growing.
The key is to approach the deployment of AI glasses (and deployment of similar technologies) with eyes wide open—understanding both the capabilities of the technology and the complex legal frameworks that govern its use. With thoughtful policies, robust technical controls, ongoing compliance monitoring, and respect for privacy rights, organizations can harness the benefits of AI glasses while managing the risks.