The last couple of times I passed by the TV to see what the kids were watching, I was surprised not to see Spongebob Squarepants or the Yankee game (Michael and Grace have their separate interests, but they usually can agree on something, at least in the short term). Anyway, they happened to be intently watching the Food Network show Restaurant Stakeout. You may know the show – Willie Degel, host and restaurateur, uses a myriad of cameras to monitor how restaurant owners run their businesses in order to critique their management styles and hopefully improve their businesses. I sat down to watch.

Mr. Degel is no doubt an exciting and informative host, but it was not his management advice (which may have been very good) that kept me watching. The level of monitoring employed by the show is indicative of the growing level of surveillance going on at workplaces across the country. But as the New York Times reported on Saturday, and as we have reported previously, monitoring is not limited to fancy cameras tilting and panning. According to the Times’ story, through complex workplace analytics

companies have found, for example, that workers are more productive if they have more social interaction. So a bank’s call center introduced a shared 15-minute coffee break, and a pharmaceutical company replaced coffee makers used by a few marketing workers with a larger cafe area. The result? Increased sales and less turnover.

Of course, privacy and data security concerns exist, but there generally are few current insurmountable legal obstacles in most of the United States if proper steps are taken, such as notifying employees and customers, and managing the data carefully. Still, many may have an uncomfortable feeling about this level of monitoring, although the Times report about restaurant servers didn’t say the servers quit. Instead those that knew “they were being monitored, pushed customers to have that dessert or a second beer, which resulted in the increased revenue for the restaurant and tips for themselves.”

Saying there are few legal obstacles may be a bit premature, however, as courts often struggle to keep pace with technology. How decisions are made concerning employees (and applicants) with vast amounts of data acquired through such monitoring and analytics could be a significant area of legal risk. Our prior report highlighted some others. Clearly, companies need to be prudent when deciding whether and how to implement such technologies, but they need not run from them as the opportunity costs and other costs for not adopting and learning from these technologies can be far greater than the costs or exposures incurred from adopting them.

These software marvels that track and analyze all aspects of a workplace to find those who are most productive, or how to make those less productive more productive, may soon have a dramatic impact on the workplace. And, it’s unclear whether they will replace the experience and grit of the Willie Degels of the world, but both my kids and I hope they don’t!

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Photo of Joseph J. Lazzarotti Joseph J. Lazzarotti

Joseph J. Lazzarotti is a principal in the Berkeley Heights, New Jersey, office of Jackson Lewis P.C. He founded and currently co-leads the firm’s Privacy, Data and Cybersecurity practice group, edits the firm’s Privacy Blog, and is a Certified Information Privacy Professional (CIPP)…

Joseph J. Lazzarotti is a principal in the Berkeley Heights, New Jersey, office of Jackson Lewis P.C. He founded and currently co-leads the firm’s Privacy, Data and Cybersecurity practice group, edits the firm’s Privacy Blog, and is a Certified Information Privacy Professional (CIPP) with the International Association of Privacy Professionals. Trained as an employee benefits lawyer, focused on compliance, Joe also is a member of the firm’s Employee Benefits practice group.

In short, his practice focuses on the matrix of laws governing the privacy, security, and management of data, as well as the impact and regulation of social media. He also counsels companies on compliance, fiduciary, taxation, and administrative matters with respect to employee benefit plans.

Privacy and cybersecurity experience – Joe counsels multinational, national and regional companies in all industries on the broad array of laws, regulations, best practices, and preventive safeguards. The following are examples of areas of focus in his practice:

  • Advising health care providers, business associates, and group health plan sponsors concerning HIPAA/HITECH compliance, including risk assessments, policies and procedures, incident response plan development, vendor assessment and management programs, and training.
  • Coached hundreds of companies through the investigation, remediation, notification, and overall response to data breaches of all kinds – PHI, PII, payment card, etc.
  • Helping organizations address questions about the application, implementation, and overall compliance with European Union’s General Data Protection Regulation (GDPR) and, in particular, its implications in the U.S., together with preparing for the California Consumer Privacy Act.
  • Working with organizations to develop and implement video, audio, and data-driven monitoring and surveillance programs. For instance, in the transportation and related industries, Joe has worked with numerous clients on fleet management programs involving the use of telematics, dash-cams, event data recorders (EDR), and related technologies. He also has advised many clients in the use of biometrics including with regard to consent, data security, and retention issues under BIPA and other laws.
  • Assisting clients with growing state data security mandates to safeguard personal information, including steering clients through detailed risk assessments and converting those assessments into practical “best practice” risk management solutions, including written information security programs (WISPs). Related work includes compliance advice concerning FTC Act, Regulation S-P, GLBA, and New York Reg. 500.
  • Advising clients about best practices for electronic communications, including in social media, as well as when communicating under a “bring your own device” (BYOD) or “company owned personally enabled device” (COPE) environment.
  • Conducting various levels of privacy and data security training for executives and employees
  • Supports organizations through mergers, acquisitions, and reorganizations with regard to the handling of employee and customer data, and the safeguarding of that data during the transaction.
  • Representing organizations in matters involving inquiries into privacy and data security compliance before federal and state agencies including the HHS Office of Civil Rights, Federal Trade Commission, and various state Attorneys General.

Benefits counseling experience – Joe’s work in the benefits counseling area covers many areas of employee benefits law. Below are some examples of that work:

  • As part of the Firm’s Health Care Reform Team, he advises employers and plan sponsors regarding the establishment, administration and operation of fully insured and self-funded health and welfare plans to comply with ERISA, IRC, ACA/PPACA, HIPAA, COBRA, ADA, GINA, and other related laws.
  • Guiding clients through the selection of plan service providers, along with negotiating service agreements with vendors to address plan compliance and operations, while leveraging data security experience to ensure plan data is safeguarded.
  • Counsels plan sponsors on day-to-day compliance and administrative issues affecting plans.
  • Assists in the design and drafting of benefit plan documents, including severance and fringe benefit plans.
  • Advises plan sponsors concerning employee benefit plan operation, administration and correcting errors in operation.

Joe speaks and writes regularly on current employee benefits and data privacy and cybersecurity topics and his work has been published in leading business and legal journals and media outlets, such as The Washington Post, Inside Counsel, Bloomberg, The National Law Journal, Financial Times, Business Insurance, HR Magazine and NPR, as well as the ABA Journal, The American Lawyer, Law360, Bender’s Labor and Employment Bulletin, the Australian Privacy Law Bulletin and the Privacy, and Data Security Law Journal.

Joe served as a judicial law clerk for the Honorable Laura Denvir Stith on the Missouri Court of Appeals.