Monitoring of both remote and in-office employees is at an all-time high, a trend highlighted by federal workers being told to report their weekly accomplishments.A study by the Massachusetts Institute of Technology (MIT) found that 80% of companies are monitoring remote or hybrid workers. Specialized software can track online activity, location, and even behaviors such as keystrokes and tone in communications often without workers knowledge.Theres been a breakdown of trust said Brent Cassell, a vice president in Gartner Researchs HR advisory group. Youve got situation where only about 52% of employees say they trust their organization and 63% of employers trust employees. Its a faceoff.Gartner estimates that 71% of employees are digitally monitored, up 30% from a year ago. In fact, remote employee monitoring is quickly becoming a multi-billion dollar market, Cassell said.According to a recent report by ExpressVPN, an online privacy and security provider, 74% of employers now deploy online monitoring tools. Another 67% use biometric methods, including facial recognition and fingerprints, to ensure employees are on the job. Those figures are roughly in line with what a 2022 New York Times investigation found: eight of the 10 largest US private companies track productivity, often in real time. Gartners report showed corporate managers still depend on monitoring systems to trust employees. According to the latest Gartner data, only 42% of HR leaders agree their organization trusts employees to complete their work without being monitored.GartnerCassell said his sons middle school monitors its students so teachers can always see whats on their tablet screens. Its interesting to me that the approach used to monitor seventh and eighth graders at my sons middle schoolis being adopted for managing adults in large organizations, Cassell said. It feels odd to treat grown professionals the same way.The increase in monitoring, however, is not surprising, Cassell and others noted.Leaders and managers want to make sure their workers are being productive, regardless of where theyre located, said Helen Poitevin, a distinguished vice president analyst at Gartner.Monitoring increases worker stressThe constant oversight is stressing workers. In a survey of 1,500 US-based employers and 1,500 workers by ExpressVPN, 24% said they take fewer breaks to avoid looking idle, while 32% feel pressured to work faster. In response, 16% fake productivity with unnecessary apps, 15% schedule emails, and 12% use tools to evade detection. Nearly half (49%) would consider leaving if surveillance increased, with 24% willing to accept a pay cut to avoid it.Surveillance may seem like a solution for improving efficiency, but its clearly eroding trust and morale in the workplace, said Lauren Hendry Parsons, ExpressVPNs Digital Privacy Advocate.As companies adopt increasingly invasive tools, they risk losing the loyalty and well-being of their workforce.According to the ExpressVPN survey, significant growth has occurred in electronic, physical and AI-enabled tracking tools:Online tracking tools: 74% of companies use software to log web browsing (62%) and track screens in real time (59%).Physical surveillance: 75% monitor employees in the office with video surveillance (69%) and biometric access controls (58%).AI-driven productivity metrics: 61% use artificial intelligence to evaluate employee performance.If employee monitoring practices are not communicated transparently by employers, worker trust can erode, according to Gartner Research. That not only affects employee retention; it hurts productivity. In low-trust organizations, only 17% of employees bring new ideas to their managers, compared to 70% in high-trust organizations, the researcher said.Gartner in 2022 found that the number of large enterprises using tools to track their workers had doubled since the beginning of the Covid-19 pandemic.GartnerMonitoring can reduce productivityWatching employees too closely can actually make them more likely to break the rules, because they feel like they have no control over their actions, said David Welsh, a professor at Arizona State University who researches organizational and behavioral ethics.For example, forced back into the office, many employees have admitted to showing up for just a few hours enough time to swipe in with their employee badge, have a cup of coffee, and be seen in the workplace then heading back home to do their work, according to one study. Known as coffee badging, the trend showed up on a survey of 2,000 full-time US workers conducted by videoconferencing tech vendor Owl Labs.However, if a company treats employees fairly and explains why monitoring is used, people are less likely to react negatively, said Welsh, who published a study on employee monitoring.To make monitoring work without causing productivity and attrition problems, businesses should focus on fairness, trust, and giving employees a sense of control, he said.According to ExpressVPN, 86% of employers do disclose their surveillance practices, but that hasnt eased employee concerns. More than 77% of workers believe companies should be legally required to disclose all forms of monitoring, while 78% support stricter federal and state regulations.Employees are demanding accountability, transparency, and respect for their privacy, added Hendry Parsons. Employers must strike a balance between oversight and autonomy or risk alienating the very people who drive their success.Despite the misconception that remote work reduces productivity, Gartner research said 55% of employees with flexible work options are high performers, compared to 36% in traditional 9-to-5 office roles.Employee monitoring technologies collect data to generate insights and reports, but measuring productivity is complex and context dependent. These tools often track time spent on tasks, which doesnt always reflect performance, Gartner said. While there are risks, they can improve employee experience and productivity when used properly.Can employing monitoring be done right?Monitoring isnt inherently bad, according to Cassell. If organizations are transparent about what data they collect, why they collect it, and how it can help employees, most will be more accepting.The key is trust organizations need to earn employees trust by clearly explaining the purpose and benefits of monitoring, Cassell said. When done right, employees may not fully embrace it, but theyll be more comfortable with it.Truckers, for example, are routinely monitored by the employers to ensure time management principles, record accidents, and ensure driver safety. Knowledge workers at desk jobs can also benefit from monitoring, Cassell said, as it can help them meet deadlines and keep up with business goals.For example, Microsoft Viva is an employee experience platform designed to help organizations improve employee engagement, well-being, learning, and productivity. If a company tracks an employees work but also offers productivity tips to help them improve, and the data isnt used punitively, employees are more likely to accept it, Cassell said.Many workers feel uninformed about how the monitoring data is used. According to Gartner, 41% report no communication about data collection, and even when communicated, clarity is often poor. Transparency about what data is collected, why, and who has access to it can build trust and boost employee engagement.To ensure a successful implementation, HR leaders should tailor communication to different roles, account for geographic differences, and engage individual managers, according to Gartner.While monitoring performance isnt new, hybrid work has amplified concerns about its ethical implications and the potential for creating a toxic work environment if done poorly.Organizations have to trust their employees before their employees trust them, Cassall said. One way that they can do that is letting them know what theyre doing and why and how it benefits them. And when they do that, what we find is employees are maybe not entirely okay with it, but they are more okay with it than they otherwise would be.