EEOC Cautions Employers on Wearable Tech and Workplace Compliance

Wearable technology has become a staple in everyday life. Many of us have friends or colleagues who swear by their smartwatches, and virtual reality (VR) glasses are no longer just for gamers. But beyond fitness tracking and immersive experiences, wearable tech is increasingly making its way into the workplace—offering potential benefits but also introducing compliance risks.

Recognizing these risks, the U.S. Equal Employment Opportunity Commission (EEOC) recently issued guidance to employers, warning that requiring or allowing employees to use “wearables” at work could lead to legal pitfalls.

The Expanding Role of Workplace Wearables

Work-related wearable technology has evolved rapidly, with a growing range of devices designed to enhance safety, productivity, and employee well-being. Common examples include:

• Fitness trackers that monitor biometrics like heart rate and activity levels to help prevent overexertion and heat exhaustion.
• Smartwatches that track biometrics while also supporting communication and scheduling.
• VR glasses that create realistic digital environments, typically for training purposes.
• Augmented reality (AR) glasses and head-mounted displays that overlay data onto the physical environment to assist with work tasks or training.
• Smart clothing embedded with sensors to monitor biometric data.

When carefully implemented, these tools can provide meaningful workplace benefits. However, they also raise significant legal and ethical concerns.

EEOC Compliance Warnings

The EEOC’s guidance, Wearables in the Workplace: Using Wearable Technologies Under Federal Employment Discrimination Laws, highlights key legal risks associated with employer-managed wearable technology. Specifically, organizations must ensure compliance with:

• The Americans with Disabilities Act (ADA)
• The Genetic Information Nondiscrimination Act (GINA)
• Title VII of the Civil Rights Act

Failing to adhere to these laws can result in costly litigation, regulatory fines, and reputational damage.

One primary concern is that employers may unintentionally—or deliberately—collect sensitive biometric data in ways that qualify as “medical examinations” or “disability-related inquiries” under the ADA, both of which are strictly regulated.

Additionally, the EEOC warns that some employers might misuse wearables data—such as biometrics or location tracking—to make adverse employment decisions, potentially violating ADA or GINA protections. The guidance provides specific examples of how these violations might occur.

Furthermore, overly broad wearable technology policies may expose organizations to claims of discrimination. Employers must consider reasonable accommodations for employees with disabilities or religious objections to wearing such devices.

Steps for Employers to Take

If your organization currently uses—or is considering adopting—wearable technology, take a proactive approach to mitigate compliance risks. Consider the following steps:

1. Conduct an internal audit. Identify any wearable devices being used in your workplace and assess the type of data they collect. If the extent of usage is unclear, start with an employee survey to gather insights.
2. Review and update your policies. The way your organization has handled wearable tech so far—whether formalized or not—may already constitute an implicit policy. Work with legal counsel to develop a clear, written policy that aligns with EEOC guidance and considers necessary exemptions.
3. Train managers and employees. Distribute your policy to all employees and require them to acknowledge receipt. Additionally, ensure that supervisors understand how to enforce the policy fairly and consistently.
4. Monitor compliance and make adjustments. As wearable technology evolves, so do legal and ethical considerations. Regularly review your policy and update it as necessary to address emerging risks.

Staying Ahead of the Risks

Wearable technology offers exciting workplace possibilities, but employers must proceed with caution. By proactively addressing the compliance challenges highlighted in the EEOC’s guidance, organizations can reduce legal risks while maximizing the benefits of these innovations.

If your organization needs assistance managing technology costs and compliance risks, contact us—we’re here to help.