“For example, setting a speed alert above the speed limit could lead to prosecution, especially if it came to light as a result of a serious accident.”

Dismissing telematics doesn’t protect a company that is pressuring drivers to speed because, in the event of an accident, everything can come under police scrutiny, not just electronic data, to check if the employer was acting legally.

Silver again: “Under legislation in force since 1984, timetables, schedules and directions given by an employer can be produced in court as evidence that the employer ‘procured’ or ‘incited’ their drivers to speed, where they show that the driver was bound to exceed the speed limit if he or she complied.

“In other words, employers who encourage or require their drivers to speed could find themselves in trouble.”

Employers also need to be mindful of the considerable overlap between the Human Rights Act (which gives a right of privacy to an individual), the Data Protection Act (which protects individuals from misuse of data), and the wealth of employment legislation that protects employees in the workplace.

Using a tracking device upon an employee while they are not actually at work could infringe upon their human rights, although most systems now have privacy buttons.

The primary consideration is an employment one and relates back to a company’s contract with employees.

If their contract of employment doesn’t cover an employer’s right to collect location data, they might face a claim of unfair dismissal in the event that data was indeed collected and the employee was dismissed or disciplined over an issue.

The fleet/police personality

UK police forces have been at the cutting edge of telematics use on their own fleets for more than a decade and promote its benefits for businesses, provided the right processes are in place.

Telematics use within police forces began with so-called ‘black boxes’, passive incident recorders that could be used to download critical vehicle data in the event of a collision.

The systems made drivers more careful, bringing the number of accidents and collisions down by 20-25% on some forces.

They also defended against unjustified legal action, such as claims that sirens or flashing lights weren’t being used when a police vehicle on an emergency call was involved in an accident.

One officer says: “The boxes help reduce the number of compensation payouts the force has to make, as the boxes provide more accurate information for crash investigators.”

The latest driver and vehicle data management systems are much more detailed and provide live feedback, with hundreds of potential parameters being recorded every second, from speed, braking and cornering forces to location and even engine performance.

A spokesman for the Association of Chief Police Officers (ACPO) says: “Telematics collect a large range of data which can often form a critical part of evidence should there be a collision.

“Usually – should the data be needed – it will be either requested from the supplier, or in some circumstances a court order will be produced requiring it.”