A Practical Guide to the Workplace Surveillance Act NSW

The Workplace Surveillance Act 2005 (NSW) is the single most important piece of legislation for any NSW business thinking about monitoring their staff. In short, it sets the ground rules for using cameras, tracking computers, and monitoring vehicles with GPS.

Getting this wrong isn’t an option. The Act makes it illegal to watch employees without following some very clear and strict rules about notification.

What the Workplace Surveillance Act NSW Means for Your Business

Think of the Act as a framework that balances your legitimate need to manage the worksite with an employee's right to privacy. It’s not there to stop you from protecting company assets or keeping an eye on productivity. Instead, it demands that you’re upfront and fair about how you do it. This is especially true on busy construction sites and in manufacturing plants where monitoring is common.

This isn't some vague guideline. The Act draws clear lines, focusing on three specific types of monitoring that form the core of your compliance obligations.

The Three Pillars of Surveillance

The legislation breaks surveillance down into three main categories. The first step to staying compliant is knowing exactly what activities fall under each.

• Optical Surveillance (Cameras): This is any kind of video camera. We're talking about the CCTV system watching over the factory floor, the security cameras on the perimeter of a construction site, or any other device that visually records or observes people at work.

• Computer Surveillance: This covers how you monitor employees' use of company computers. It includes everything from tracking emails and website visits to monitoring what software they use, even logging keystrokes. If it’s happening on a work-issued device, it’s covered by the Act.

• Tracking Surveillance (GPS): This is all about using devices to track the location and movement of vehicles, assets, or even people. The classic example is fitting company utes and delivery trucks with GPS trackers to monitor their routes.

The entire Act is built on one simple principle: surveillance must be overt, not covert. Your employees have a right to know they are being monitored, why it’s happening, and how the monitoring is being carried out. Secretly recording your team is illegal under almost any circumstance.

Key Legal Requirements

The Workplace Surveillance Act 2005 (NSW), which has been in effect since 7 October 2005, is the definitive law here. Its rules revolve around one central requirement: employers must give workers written notice at least 14 days before any overt surveillance begins.

This mandatory notice period is a critical detail that sets NSW's laws apart from other states in Australia. It’s the foundation of your entire compliance process. For a closer look at how legal experts interpret these rules, check out the analysis from lawpath.com.au.

But the law isn't static; it's evolving right alongside technology. Recent changes to the Work Health and Safety (WHS) Act, set to be fully rolled out by 2026, are bringing AI and other digital work systems into the safety conversation. These new rules mean you now have to assess the psychosocial risks of modern monitoring tools, directly linking your surveillance practices to your broader WHS duties.

Understanding the 2026 Digital Work Systems Changes

The world of workplace monitoring got a major shake-up in early 2026. This wasn't just a minor tweak to existing rules; it was a fundamental shift aimed squarely at how modern technology, especially artificial intelligence, is used to manage workers.

The change arrived via the Work Health and Safety Amendment (Digital Work Systems) Bill. It’s a big step towards bringing WHS laws into the 21st century, reflecting how businesses actually run today. The conversation is no longer just about CCTV and GPS trackers. It's now about the software and algorithms that direct, monitor, and even make decisions about our work.

What Are Digital Work Systems?

So, what does the government actually mean by "digital work systems"? It's a broad catch-all term for the new wave of tech used to manage people and processes.

Think of it as any computer-based tool that relies on algorithms, automation, or AI to organise work, keep an eye on things, or make decisions.

This umbrella covers a lot, including systems that:

• Automatically assign tasks: Like software that hands out jobs to factory workers based on their performance metrics.
• Use AI to monitor activity: Think of systems that analyse video feeds to track a worker’s movements or flag certain actions as inefficient.
• Make automated decisions: This could be a platform that manages rosters, approves leave, or even performance-manages staff without a human hitting 'approve'.

On 12 February 2026, the Work Health and Safety Amendment (Digital Work Systems) Bill 2025 (NSW) was officially passed, a first for Australia in regulating these technologies. This law now explicitly pulls AI-driven work allocation and automated decision-making under the WHS umbrella. You can get a clearer picture of this legislation by reading this in-depth analysis of the new digital work systems law.

A New Positive Duty for Employers

The biggest change here is a new positive duty placed squarely on employers. In plain English, this means you have to proactively make sure the digital systems you use are safe, both physically and psychologically.

Before, a manager might have installed performance-tracking software without giving a second thought to the stress it could cause. That's no longer good enough. The law now forces you to consider the mental health fallout of constant, data-driven monitoring.

This duty is all about preventing harm before it even starts. You're now legally required to think about and manage the psychosocial risks tied to how your tech watches, directs, or "manages" your team.

Prohibited Monitoring and Worker Powers

Under these changes, some monitoring practices are now off-limits unless a proper risk assessment has been done first. You can't just roll out any system you find.

The heart of the matter is this: you must justify using intensive monitoring by proving you've assessed and controlled the risks it creates. This includes the very real risk of fostering a high-stress workplace where people feel like they’re being constantly judged by an algorithm.

For instance, a system that tracks every single mouse click or keystroke to measure productivity could create huge psychosocial stress. Before you even think about using a tool like that, you must conduct a formal risk assessment to identify and reduce these hazards. For more on this, you can learn more about how AI is changing workplace safety in our article.

On top of this, the new laws give Health and Safety Representatives (HSRs) more teeth. They now have the right to request and inspect records related to your digital work systems, adding another layer of accountability. This ensures your compliance with the Workplace Surveillance Act NSW and its new digital rules is transparent and open to review by your own people.

Defining Employer Duties and Employee Rights

Think of the Workplace Surveillance Act NSW as a set of ground rules for workplace monitoring. It’s not about playing "gotcha" with your team; it's about being upfront and transparent. For employers, this means following a strict process before any surveillance even begins. For employees, it offers a solid foundation of rights, ensuring they’re treated with fairness and respect.

Nailing this balance is the secret to compliant and effective workplace monitoring. Getting it wrong can lead to big fines and legal headaches, while getting it right builds trust and keeps everyone on the same page.

At its heart, the Act boils down to one core principle: notification. You simply can't monitor your staff legally without telling them first, and the law is very specific about how you need to do it.

The Employer’s Core Duties

Your obligations as an employer are set in stone and kick in long before you switch on a camera or install any software. The law lays out clear, practical steps you must follow.

The most important duty is giving advance written notice. You are legally required to inform your employees at least 14 days before you start any form of surveillance. This isn't just a friendly suggestion. It’s a mandatory waiting period.

This notice has to be crystal clear. It must spell out:

• The type of surveillance you’ll be using (e.g., CCTV cameras, computer monitoring, or vehicle tracking).
• How the surveillance will actually work.
• When the monitoring will kick off and how long it will last (e.g., is it ongoing or for a specific project?).

On top of that, surveillance is completely off-limits in certain areas. You can't put cameras in bathrooms, change rooms, or other private spaces. Any monitoring you do must also have a legitimate business purpose, not just be a way to pry into personal matters.

That 14-day notice isn't just a box to tick. It’s a fundamental requirement giving your team time to understand the changes and ask questions. A quick heads-up in a team meeting just doesn’t cut it.

As you define these new duties and your employees learn their rights, it's also a smart move to review your existing employment agreements. Using efficient AI tools for reviewing employment contracts can be a big help in making sure all your documentation is consistent and compliant with the new rules.

The Employee’s Fundamental Rights

Just as employers have duties, employees have matching rights under the Act. These are designed to protect their privacy and make sure they aren't being watched unfairly or in secret.

The biggest right is the right to be notified. An employee must be told about any planned surveillance before it starts, what it involves, and why it’s happening. No surprises.

Employees also have a right to privacy at work. This means they can expect places like bathrooms and change rooms to be completely free from monitoring. The law is there to shield their private communications and activities from being unfairly scrutinised.

This is the balance that makes the Workplace Surveillance Act NSW work. It allows businesses to protect their interests while respecting the dignity and privacy of their people.

Quick Reference Comparison Table

To help you see how this all fits together in practice, here's a simple side-by-side comparison of the key obligations and rights.

This table makes it easy to see the two sides of the coin, helping you ensure your approach to workplace surveillance is always fair, transparent, and most importantly, legal.

Your Step-by-Step Compliance Checklist

Knowing the rules is one thing; putting them into practice on a busy construction site or factory floor is another challenge entirely. This practical checklist breaks down the compliance process into clear, manageable steps.

Use it as your guide to make sure your surveillance program respects the law and your team from day one.

Step 1: Identify the Purpose of Surveillance

Before you even think about installing a single camera or piece of software, you have to be crystal clear on why you need it. The purpose has to be legitimate and directly related to the business.

Are you trying to stop theft of materials? Monitor the safe operation of heavy machinery? Track vehicle locations for logistics?

Your reason can’t be vague, like "to improve performance." It needs to be specific. For example, a valid purpose would be "to monitor entry and exit points of the main warehouse to prevent unauthorised access." This purpose will be the foundation of your entire policy and notice.

Step 2: Conduct a Risk Assessment

With the new 2026 changes on the horizon, this step is more critical than ever, especially for any digital systems you’re using. You must assess the potential psychosocial risks the monitoring could create for your team.

Will continuous computer monitoring cause stress and burnout? Could AI-driven task allocation feel unfair or biased to workers?

Your risk assessment needs to document these potential hazards and outline the control measures you'll put in place to manage them. This isn't just a box-ticking exercise; it's a legal duty under WHS law. You can explore a variety of tools for managing this process in our guide to risk and compliance management.

Step 3: Draft Your Surveillance Policy and Notice

Now it’s time to get everything down in writing. Your policy is the internal document that details your whole approach, while the notice is the official communication you give to your employees.

The written notice is the most critical part. It must include:

• The type of surveillance: State clearly if you're using cameras, GPS tracking, or computer monitoring.
• How it will be conducted: Explain how the systems actually work. For instance, "CCTV cameras will record video of the main workshop floor 24/7."
• The start date: This must be at least 14 days after the notice is delivered.
• Whether it's continuous or intermittent: Be upfront if the monitoring is always on or only active at certain times.
• Details for company vehicles: If a vehicle is subject to tracking, a notice must be clearly visible on the outside of that vehicle.

Make your notice easy to understand. Ditch the legal jargon. The goal is for every single worker, including subcontractors who might only be onsite for a day, to know exactly what is being monitored and why.

Step 4: Provide 14-Day Written Notice

Once your notice is drafted, you have to deliver it to all affected workers. Remember, this includes not just full-time employees but also part-timers, casuals, and any subcontractors working on your site. The 14-day clock starts from when they receive the notice, not when you send it.

For a distributed workforce, like teams across multiple construction sites, email is an acceptable way to deliver it. However, you need a method to confirm they’ve actually received and read it. For site-based workers or subcontractors, including the notice in the site induction pack and getting a signed acknowledgement is a rock-solid method.

Step 5: Implement the Surveillance

Only after the 14-day notice period has passed can you legally begin monitoring. Make sure the surveillance you roll out matches exactly what you described in your notice.

If you told staff you were only monitoring website categories, don't suddenly start logging their keystrokes. Any deviation from what you've stated in the notice makes the surveillance unlawful.

Step 6: Manage and Secure the Collected Data

Your responsibility doesn't end once the cameras are on. The data you collect is sensitive and must be stored securely to prevent anyone from accessing it who shouldn't. You need a clear policy on who can view the surveillance footage or data, for what reasons, and how long you're keeping the information.

Beyond just collecting it, a critical part of compliance is the proper disposal of recorded data. You have to ensure that data is irrecoverably destroyed and that you keep verifiable records of it. For instance, obtaining a legally binding document like a hard drive destruction certificate creates a paper trail showing you’ve met your data management obligations from start to finish.

How to Manage Surveillance Compliance Digitally

Let’s be honest, trying to keep track of your obligations under the Workplace Surveillance Act NSW with paper forms and spreadsheets is a nightmare. On a busy manufacturing floor or a construction site with workers constantly coming and going, just making sure every single person has received and signed off on their 14-day notice is a massive administrative headache.

This is exactly where digital management tools make a real, practical difference.

Using a platform like Safety Space brings your entire compliance process into one central, organised system. It gets rid of the guesswork and the manual slog, swapping out messy paperwork for a clear, auditable trail that proves you’ve met your legal duties. This isn't just about making life easier; it’s about seriously reducing your legal risk by creating a foolproof record of your compliance activities.

This simple, three-step process shows how to approach it.

This flow shows how a structured approach ensures you assess risks, notify workers correctly, and implement surveillance legally.

Creating and Distributing Notices

The first step in any digital system is getting those required notices created and sent out. Instead of printing stacks of paper, a platform lets you use a standardised template for your surveillance notice. This guarantees every notice contains the specific information required by the Act, every time.

For instance, a site manager can draft one notice for new CCTV cameras, upload it, and push it out to all employees and subcontractors in a single click. The system can send it via email or a worker app, delivering it instantly to everyone who needs it, whether they’re on-site or working from home.

This digital approach pretty much eliminates the risk of someone being missed. A new subcontractor turning up for a single day’s work can be added to the list during their digital induction, ensuring they get the exact same notification as your long-term staff.

Storing Acknowledgements and Creating a Record

Getting the notice out there is only half the battle. You also need solid proof that each worker actually received and understood it. A digital system makes this incredibly simple by requiring a digital signature or acknowledgement.

The biggest advantage here is the creation of an instant, time-stamped audit trail. The moment an employee acknowledges the notice, the system automatically logs the date and time. This gives you undeniable proof that you met the 14-day notification rule.

A manager can see on their dashboard, at a glance, who has and hasn't acknowledged a notice. No more chasing people with a clipboard. You can see exactly who needs a follow-up.

Centralising Your Compliance Records

Perhaps the greatest benefit is having all your surveillance compliance information in one spot. Imagine you need to prove you notified a specific contractor about GPS tracking on a vehicle they used six months ago. With a paper system, you’d be rummaging through filing cabinets, hoping the document is still there.

With a digital platform, you can find that record in seconds. This central log shows you everything you need:

• What surveillance is active: A live register of all cameras, computer monitoring software, and GPS trackers.
• Who was notified: A complete list of every single worker who received a notice.
• When they acknowledged it: Time-stamped records of their digital signatures.

This centralised approach transforms compliance with the Workplace Surveillance Act NSW from a complex web of paperwork into a straightforward, manageable process. It protects your business and lets you get on with running your operations. For a closer look at managing compliance, you can find more information about WHS software in NSW on our blog.

Common Questions About the NSW Surveillance Act

Even with the best compliance plan in place, the day-to-day realities of workplace monitoring can throw a few curveballs. It’s only natural to have questions when you’re trying to balance business needs with legal duties.

This is where we clear up some of the most common grey areas managers run into with the Workplace Surveillance Act NSW. We’ll tackle the tricky situations head-on so you can act with confidence.

What Happens If I Don’t Comply With the Act?

Cutting corners here is a serious misstep with a big price tag. Breaching the Act can lead to significant fines, hitting your business right in the wallet.

But the financial penalties are only half the story. Arguably the bigger risk is that any evidence you collect illegally gets thrown out in court. Imagine you fire someone for serious misconduct based on footage from a camera you didn't tell them about. When that employee files an unfair dismissal claim, your key evidence is inadmissible. Your whole case just fell apart.

Failing to comply doesn't just open you up to fines; it undermines your entire disciplinary process and shatters the trust you have with your team.

Can I Monitor Subcontractors on My Site?

Yes, you can, and you absolutely must follow the same rules. The Workplace Surveillance Act NSW doesn’t distinguish between direct employees and contractors. It applies to everyone working on your site.

If you’re running a site with subcontractors, be it a construction project, a factory, or a warehouse, you are legally obligated to give them the same 14-day written notice you give your own people.

The smartest way to handle this is to bake the surveillance notice right into your site induction process. When a new contractor signs in, the notice should be part of their induction pack. Get them to sign an acknowledgement before they even set foot on site.

This approach creates a rock-solid, consistent compliance record for every single person. No one can ever claim they weren't told.

Do I Need to Notify Staff About Existing Security Cameras?

You sure do. The law applies to all surveillance, no matter when the cameras were installed. If you’ve had security cameras up for years but never issued a formal notice, you’re likely non-compliant right now.

There’s no "grandfather clause" for old equipment under the Act. To get things right, you need to issue a notice that meets all the legal criteria:

• It has to be in writing.
• It must be delivered at least 14 days before the monitoring is considered compliant.
• It must detail the type of surveillance (e.g., CCTV), where the cameras are, how they operate, and why you're monitoring.

Even if your cameras are just for spotting intruders, the moment they capture your team at work, the Act’s rules kick in. The fix is simple: issue a compliant notice to all staff as soon as you can.

Is It Legal to Monitor Staff Working From Home in NSW?

Monitoring remote workers is legal, but the rules are incredibly strict. You can use computer surveillance software on a company-owned device, but there’s no room for secrecy.

The fundamental requirements don't change just because the workplace has. You still have to give that 14-day advance written notice, clearly explaining what you’re monitoring (like websites visited or applications used) and the business reason for it. Covert tracking is completely off the table.

And there’s a new layer to consider. The 2026 updates to the WHS Act mean you also have to conduct a risk assessment for the psychosocial hazards of remote monitoring. Intrusive practices like tracking keystrokes or mouse movements can cause serious stress and are now prohibited, unless you have a documented risk assessment proving you’ve managed the mental health risks involved.

Managing compliance with the Workplace Surveillance Act NSW demands organised records and airtight processes. Safety Space gives you a single platform to distribute notices, track who has acknowledged them, and keep a complete audit trail of your surveillance activities. It simplifies compliance and reduces your legal risk. Learn how you can protect your people and your business at https://safetyspace.co.