Your "SSID privacy" is at risk regardless of whether Google collects information or not: https://wigle.net/

In the end, asking people to please not snoop on you never has and never will be a security measure that works. You need something tangible to protect your privacy, so as to make it virtually impossible.

We already have this. Every modern mobile OS gates the SSID API behind location permissions.

Given such protections, practically speaking, there isn't any problem with SSID being bound to location information.