Google is already tracking your location all the time if you're in the market for this product. This just exposes that data for what seems like a very useful user feature.
I've lately been getting into the habit of turning location services off unless I actually need them on, and I would recommend it. It's a shame my phone gets my location behind my back without any indication by default.
(This all without you ever telling which location is your work and which is home.)
"To help you through your day, Google needs to: Use and store your location for traffic alerts, directions, and more. User your synced calendars, Gmail, Chrome, and Google data for reminders and other suggestions."
This topic does come up a lot here, and yet this is as direct and concise a way to put it as I can imagine. I wonder what those who have been surprised by the services they have opted into would suggest to improve their understanding of what they are potentially agreeing to?
And this is a general problem - people share all kinds of private information about themselves, without full understanding of the kind of analysis that is possible on that data these days.
I personally don't have a problem with the tech (and I've used Latitude way back, so it's not like any of it is new).
And if you're worried about being tracked in general, then mobile phone. That's the sad truth.
I'm sure GCHQ can track me, but hopefully Google only gets minimal location data.