Does employee privacy matter to employers?

I want to know what you guys think about real-time time tracking for hybrid work teams and how do you think constant surveillance can impact employee's morale and productivity over time. Context: I have worked with several companies and some of them used time trackers that took screenshots and kept on my computer throughout my work shift which made me really conscious and at times uncomfortable. It somewhat affected my productivity too. I want to hear your experiences and if a tool that can overcome this privacy issue would be helpful to you