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Data protection law needs to prevail here.
If a vehicle dashcam is recording during a workshop repair it is recording technicians activities, private conversations, potential libelous comments about customers, the chance of hearing financial details which may be private and many other infringements of personal information.
There can be only one rule to protect staff and customers alike and that is to turn these devices off.
Customer perceptions can never be calculated, as a tech I know once said, “never let a customer see you hitting his car with a hammer, it is as bad as watching another man make love to your wife!”