you can be tracked easily... if you dont know what to look for. look for an app called Lookout (there is one more app out there very similar to lookout), if its installed check its settings to see it its got the location settings on. If so, with the GPS it can track you within 4 Meters as to where your at. I have this installed on my phone, and my wife just in case we lose our phones. But, if I wanted to, I could easily log into the account to see where the phones are at any time. But, I dont have a reason to do so.
If you go into settings and turn off the GPS you have almost nothing to worry about. Unless of course another application uses GPS and cell tower location, in which case your jsut out of luck. The phones, at this time, can't completely lock applications for work purposes. At least not that I know of (until full root access is in the market place on the offical roms). You should be able to remove any applications such as Lookout. But then again, if the phones are work computers the company has every right to know exactly where their assets are going. I've been in IT for 15+ years. if thats a company issued phone you have the right to use it and not abuse it. But, unless your a trucker or a driver for the most part companies could care less as to where your going with their phone.
If you are a driver for a company, then chances are you are being tracked as far as where your vehicle is going. It is standard practice to put a GPS hidden on company vehicles to track milage, speed, and location of all company motor assets. GPS units are a dime a dozen and so small you wouldn't even know you had one on the car your driving even if it was right on the dashboard hehe.
