Monitoring work-from-home threatens trust and productivity — expert

June 19, 2024

A US bank reportedly fired more than a dozen employees after an investigation found they has used tools such as "mouse jigglers" to simulate productivity. (Source: Breakfast)

A management expert says Kiwi employers should be wary of using employee-monitoring surveillance software as it could have a "negative impact" on the trust and productivity of employees.

US bank Wells Fargo reportedly fired more than a dozen employees last month after an investigation found they has used tools such as "mouse jigglers" to simulate productivity while working from home.

An increase in remote work during the Covid-19 pandemic prompted some employers to seek employee-monitoring software, including in New Zealand.

"Just in the first month of the first Covid-19 lock down, the largest manufacturer of this kind of employee-monitoring software reported that their sales to New Zealand tripled," said Stephen Blumenfeld from Victoria University of Wellington's school of management.

He said the employee-monitoring surveillance tools "typically monitor keystrokes" and he was "confused" why mouse-jigglers were so popular.

"Employers are usually monitoring keystrokes, so jiggling your mouse is not really going to show the employer that you're not working or working."

Employee-monitoring surveillance tools gained popularity during Covid-19 lock down with the rise of remote work.

Asked whether monitoring employees' productivity through their computer software was legal in New Zealand, Blumenfeld said Kiwi employees were protected by the Privacy Act.

"The Privacy Act actually requires employers to get employees consent for collecting any kind of information, including applying to this monitoring software."

He said there was research to suggest that employees who did not feel trusted were less productive overall.

"When employees feel they aren't trusted, they are less motivated, less satisfied with their job, less committed to the employer and obviously that affects productivity."

"If you require employees to install this kind of software on their home computer, you're right there telling them 'we don't trust you', which is going to have a negative impact."

Blumenfeld said US employers can "sack you for any reason or no reason at all," which was not dissimilar to New Zealand's 90-day trials.

"Here in New Zealand, the employee-monitoring software obviously does exist... but we don't know how prevalent it is."

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