Top 5 Mistakes Companies Make When Monitoring Remote Employees

Top 5 Mistakes Companies Make When Monitoring Remote Employees

According to the U.S. Bureau of Labor Statistics, almost 23% of employees, or 32.6 million people, worked remotely at least partially in 2024. Globally, 16% of companies are fully remote now. These numbers prove remote work is still a popular trend, and so is employee monitoring. With tracking tools, organizations want to ensure their remote workforce is as productive and engaged as they are in the office. Besides, employee monitoring helps minimize security risks, which are usually higher when employees work remotely. However, in their determination to uphold productivity, strengthen security, and ensure compliance, companies often make mistakes in monitoring. These mistakes undermine trust and morale and ruin the productivity the organizations want to enhance.

In this article, we will explore 5 top monitoring mistakes companies make in remote employee management.

Mistake 1: Over-reliance on Invasive Monitoring Techniques

Overusing invasive monitoring techniques is one of the most significant mistakes managers can make. It is understandably tempting for a company to know exactly what employees do at work down to the minute, what apps they use, what messages they type in a casual chat with a colleague, or even access their webcam and see what they are doing. Managers justify these measures with productivity or security concerns, but in many cases, such scrutiny can backfire spectacularly. Unsurprisingly, employees see such profound monitoring as a lack of trust and a rude violation of privacy. 39% of employees admit that monitoring spoils their relations with the employer, and 43% see it as the reason for declining company morale. Excessive monitoring puts unnecessary psychological pressure on employees, breeds resentment, creates a culture of suspicion and micromanagement, and potentially leads to higher turnover.

A more effective approach is to limit monitoring to the data that is strictly necessary for evaluating productivity and maintaining security. Besides, it is vital to be open and transparent with employees about the monitoring policies.

Mistake 2: Focusing on Activity Rather Than Outcomes

This mistake evolves from the previous one. Instead of assessing the employee's output and results, the manager might focus solely on tracking and quantifying their daily activity: number of emails sent, time spent on particular apps and sites, or even the frequency of mouse clicks. Needless to say, such metrics provide only a superficial overview of the employee's work and do not reflect their productivity or value to the organization. An employee might appear "active" on their computer for hours without actually completing any meaningful work. Meanwhile, another might achieve significant results in a shorter period through focused work, breaking it with funny cat videos or browsing memes to relax. Tracking activity only does not account for individual work styles and may make employees prioritize "appearing busy" over delivering quality results.

An effective approach to remote employee management means setting clear, measurable goals and focusing on tangible results and the quality of deliverables rather than meticulous activity logs. When you trust employees to manage their time and focus on results, they will work in a way that suits their strengths and ultimately benefits the company.

Mistake 3: Lack of Transparency and Communication

Transparency and communication are the cornerstones of any employee monitoring type, especially in remote work conditions. Unfortunately, many companies decide not to inform their employees about monitoring at all. Those that do fail to provide clear monitoring policies in the vast majority of cases - only a third (32%) of employees surveyed by Forbes Advisor have received any guidelines or policies regarding monitoring.

Such negligence may result not only in damaged employee morale but also in hefty fines for not complying with privacy laws and regulations.

Companies should communicate their monitoring policies, including the reasons for monitoring, the scope of collected data, who can access logs, and how long they are stored. With regular updates and opportunities for dialogue about monitoring practices, employees will feel informed and respected and less resistant to monitoring.

Mistake 4: The One-Size-Fits-All Approach

Mistake 4: The One-Size-Fits-All Approach

The next mistake in monitoring is the tendency to apply one approach to all remote employees, regardless of their roles, experience levels, or established track records. Such an approach ignores the diverse nature of remote teams and the levels of trust established with individual employees. Monitoring a veteran high-performing specialist with the same scrutiny as a new hire will make the professional feel distrusted and stifled. Reliable employees who thrive on independence will be particularly demotivated by the one-size-fits-all approach.

On the contrary, tailoring monitoring approaches to specific team needs, trust levels, and individual responsibilities will be more beneficial for remote team management. Recognizing that different roles may require different levels of oversight, providing support to new hires, and giving relative freedom to seasoned employees will be a more effective and less demoralizing monitoring system.

Mistake 5: Neglecting Employee Well-being and Mental Health

Decreasing employee well-being caused by aggressive tracking is perhaps one of the most overlooked mistakes in monitoring. Even if the managers do notice increased stress levels, anxiety, and burnout, they rarely tie them to their monitoring methods. Meanwhile, constant surveillance may push employees to appear busy, ignoring much-needed breaks, and hinder their ability to focus and perform effectively. Companies prioritizing constant monitoring at the expense of employee well-being create a toxic work environment that leads to isolation, decreased productivity, lower engagement, and higher rates of absenteeism and turnover.

A supportive and trusting work environment is essential for long-term success, especially in remote teams. In addition to clear monitoring policies and focus on the results, organizations should encourage open communication about workload and stress and consider implementing well-being initiatives specifically designed for remote employees.

Conclusion

Remote employee management is a challenging task, and employee tracking can either oil the wheels or bring more trouble, depending on how it is implemented. Invasive monitoring, prioritizing activity over results, lack of transparency, the same approach to all employees, and neglecting employee well-being are critical mistakes in monitoring. Making them means undermining your employees' trust and productivity and creating a stressful, stifling environment, where there is no room for motivation and creativity. Organizations should re-evaluate their approach and implement monitoring ethically and transparently with a focus on the result. Want to know how to do it? Check out our guide on monitoring remote employees. Embracing a balanced and ethical approach to remote employee management is not just a matter of best practice; it is essential for building a thriving and sustainable remote workforce in the long run.

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