Employee monitoring is at an all-time high
Employee monitoring is expanding fast. Companies now both track remote workers and watch in-office employees too. Businesses want to ensure productivity, and with the rise of hybrid work, managers feel the need for real-time insights. The tools they use are getting more advanced, capturing everything from screen activity to keystrokes and even communication tone.
According to MIT, 80% of companies now monitor remote or hybrid employees. Gartner reports that 71% of employees are digitally monitored—up 30% in just a year. These numbers will keep climbing. The demand for accountability and efficiency is relentless.
Executives need to think ahead. Monitoring is about managing trust. Done well, it enhances performance. Done poorly, it damages morale and drives talent away.
Monitoring erodes trust between employers and employees
Trust is fragile. The more you watch people, the more they feel like you don’t trust them. When employees think they’re being micromanaged, motivation drops. Innovation slows. They stop sharing ideas because they assume leadership won’t listen. That’s a problem.
Gartner’s data is clear: only 52% of employees trust their companies, and just 63% of employers trust their workers. Brent Cassell, VP at Gartner, calls it a “breakdown of trust.” It’s about how employees perceive it. Owl Labs found that 92% of employees now value supportive management almost as much as salary.
If you want top performance, build a culture of trust. Monitoring should be transparent. Make it clear why it’s used and how it benefits employees. Otherwise, expect higher turnover and lower engagement.
Monitoring can increase employee stress and lead to unethical workarounds
Constant surveillance creates pressure. Employees feel like they have to look busy at all times. They skip breaks. They rush work. Some even game the system.
An ExpressVPN survey found that 32% of employees feel pushed to work faster, and 24% take fewer breaks. Some use unnecessary apps just to appear active. Nearly half would consider quitting if monitoring became more intense. Lauren Hendry Parsons from ExpressVPN warns that over-monitoring “erodes trust and morale.”
“For executives, the lesson is simple: monitoring should enhance productivity, not force people into burnout. A high-performance workforce enables people to do their best work.”
The expansion of AI and biometric monitoring
AI and biometrics are taking over. Companies are using facial recognition, fingerprint scans, and AI-driven productivity tracking to monitor employees in real time. This is happening now.
According to ExpressVPN, 74% of employers use online tracking tools, 67% use biometric verification, and 61% apply AI to evaluate performance. These systems provide deep insights, but they also raise big questions about privacy, security, and ethical use.
For decision-makers, the priority should be control. Not over employees, but over how this data is used. AI-driven monitoring should be about optimization, not punishment. Without clear policies, it’s easy to cross the line from efficiency to intrusion.
Surveillance may reduce productivity instead of increasing it
The logic behind monitoring is simple: track employees, improve performance. But the data suggests otherwise. If people feel they’re being watched too closely, they focus on avoiding trouble rather than doing their best work.
Gartner research shows that excessive oversight leads to disengagement. Employees find ways to appear present without actually being productive. A growing trend called “coffee badging” highlights this—workers check in at the office for a few hours just to be seen, then leave to work elsewhere. Owl Labs found this behavior in a survey of 2,000 full-time U.S. workers.
David Welsh, a professor at Arizona State University, points out that when people feel they have no control, they’re more likely to break rules. If monitoring feels unfair, employees will resist. The real solution? Create an environment where people want to perform—not one where they’re forced to.
Employee trust and transparency are crucial for effective monitoring
Transparency is everything. Employees don’t just want to know they’re being monitored—they want to understand why. Companies that fail to communicate this risk alienating their workforce.
Gartner’s research found that in high-trust organizations, 70% of employees contribute new ideas. In low-trust environments, that number drops to 17%. ExpressVPN reports that although 86% of employers disclose monitoring practices, 77% of employees still believe full transparency should be legally required.
For executives, the takeaway is simple: clarity builds confidence. If employees know what’s being tracked and why, they’re more likely to accept it. Monitoring should be positioned as a tool for improvement, not control. The more open the communication, the stronger the culture.
When done right, monitoring can provide benefits
Bad monitoring is the problem. When done well, it can help employees work smarter. The key is using it as a support system, not as a means of control.
Take Microsoft Viva—an employee experience platform designed to improve engagement, well-being, and productivity. It provides insights, but it also offers tools to help employees manage their time effectively. If monitoring highlights areas for improvement rather than punishing inefficiency, employees are more likely to accept it.
Gartner’s research backs this up: 55% of employees with flexible work arrangements are high performers, compared to just 36% in rigid office settings. Meanwhile, 41% of employees say they receive no communication about data collection. That’s a gap executives need to close.
Brent Cassell at Gartner puts it clearly: “Organizations have to trust their employees before their employees trust them.” Monitoring should be about enabling success. If that’s the goal, employees will embrace it.
Final thoughts
Employee monitoring isn’t slowing down. AI, biometrics, and real-time tracking are becoming standard, and companies see them as tools for efficiency. But surveillance alone doesn’t drive performance—trust does. Over-monitoring breeds stress, disengagement, and resistance. Employees who feel watched every second are less likely to innovate and more likely to leave.
The real challenge for leaders isn’t only choosing the right monitoring tools, but how to use them wisely. Transparency is key. People need to know what’s being tracked, why, and how it benefits them. When monitoring is positioned as a tool for support rather than control, employees are more likely to accept it.
Companies that strike the right balance will attract and retain top talent. Those that don’t will face turnover, burnout, and declining productivity. It’s about creating an environment where they want to perform at their best.