Mistakes When Tracking Remote Employees - People Development Magazine

It is perfectly natural to feel uncertain when allowing employees to work from home. Will they stay productive? Or will they get distracted by video games, Netflix, or remain in pyjamas all day while still collecting their pay?

Thankfully, modern remote employee monitoring software has come a long way. These tools reduce uncertainty, enabling managers to track productivity, protect company data, and support their teams without the need for micromanagement. However, monitoring also presents ethical, legal, and practical challenges.

So, how do we approach remote monitoring effectively? What should we track? What crosses the line? And how can we avoid the most common mistakes when tracking remote employees?

Let’s explore four crucial areas.

Mistake #1 – Failing to Be Transparent with Employees

Stacy Hawkins, a law professor at Rutgers Law School, points out: “Anyone working in the employer’s place of business using their equipment is getting monitored.” This applies equally to remote work, where the “place of business” becomes any location with internet access.

Transparency is crucial when implementing remote tracking. Let employees know not only that monitoring software is in use, but also how it works and what data it collects. This fosters trust, demonstrates respect for employee privacy, and ensures compliance with data protection regulations.

Remote tracking software

Today’s software offers deep insights, tracking websites visited, apps used, and the time spent on various tasks. Used responsibly, these tools can enhance productivity and help identify areas where support is needed.

To maintain trust, it’s essential to communicate clearly about what is being monitored. Include this in onboarding, policies, and training. Offer employees access to their data and create two-way channels for feedback. Transparency isn’t just a one-off message; it’s an ongoing practice.

Mistake #2 – Not Securing Employee Data

A study found that 58% of senior managers had inadvertently shared sensitive employee data by sending it to the wrong person. This not only breaches privacy but can result in reputational damage and loss of employee confidence.

A 2020 Forbes article revealed that 52% of employees prioritise workplace safety over promotion. This reflects a broader desire for data security in remote settings.

Capturing Private Information

Monitoring tools risk capturing personal details, such as passwords or financial data. To avoid this, use software that allows customised settings, such as blurring screenshots or recording only specific activities.

The goal is not to track every click, but to assess work output and productivity trends. Monitoring every move leads to micromanagement, which can:

  • Harm morale
  • Reduce trust
  • Suppress creativity

Instead, focus on overall performance. Utilise aggregated data to identify patterns, pinpoint skill gaps, and deliver timely support. Many tools now offer anonymised insights, striking a balance between accountability and privacy.

Mistake #3 – Tracking the Wrong Metrics

Remote employee monitoring software can capture an overwhelming amount of data. But just because you can measure something doesn’t mean you should.

Start with clear goals. Instead of obsessing over hours logged, focus on outcomes. What matters most is how employees use their time, not just whether they are online.

Key performance indicators (KPIs) should reflect team objectives. This means:

  • Tracking project milestones
  • Monitoring app and software usage
  • Comparing input to output
  • Identifying opportunities for training
  • Supporting rather than policing employees

The best remote monitoring tools enable you to set targets, benchmark progress, and align employee efforts with business objectives.

Mistake #4 – Ignoring Legal Compliance

One of the biggest risks when using monitoring tools is falling foul of privacy and employment laws. These variations are considerable by country and even within regions.

For example:

  • United States: Laws differ by state. Some allow covert monitoring, others require employee consent.
  • Australia: Employers must notify staff at least 14 days in advance.
  • Malaysia: Written notification of monitoring intentions is required.
  • Finland: Employers cannot monitor emails, calls, or internet use without prior consent.
  • Russia: Monitoring phone calls is prohibited altogether.

Before implementing monitoring software, it is essential to seek legal guidance. This ensures compliance with regulations, such as the GDPR, and protects your business from costly penalties and employee grievances.

The Latest Technology Trends in Employee Monitoring

In recent years, AI-powered monitoring has made it easier to detect productivity patterns without invading privacy. Some platforms now use:

  • Behavioural analytics to detect burnout risk or dips in focus.
  • Privacy-first design, letting users opt into what’s tracked.
  • Hybrid work analytics that blend in-office and remote productivity metrics.
  • Slack, Zoom and Microsoft Teams integrations for contextual tracking.

There is also growing use of wellbeing-focused monitoring, where software alerts HR teams to signs of overwork or disengagement—helping them intervene early with support.

Final Thoughts

Remote employee monitoring software is here to stay. When implemented transparently, ethically, and with a focus on outcomes rather than control, it can enhance performance and protect your business. By avoiding the common mistakes outlined above, you can establish a high-trust, high-output remote culture that benefits both the employer and the employee.