36 Hours to Lose Talent: The Hidden Cost of Employee Monitoring
Are we watching too closely?
A story about monitoring software, trust, and losing great talent.
Recently, something happened that stuck with us. One of the AI engineers in our ecosystem— 10+ years of experience, strong track record—was shortlisted for a client project. He was excited about the opportunity and wanted to work with our customer. But they were slow to finalize the role, and in the meantime, he accepted an offer from another company.
Here’s the twist: 36 hours in, he found out they were using monitoring software to track what he did on his laptop. No prior notice. He quit immediately.
He told us: “In a decade of working in tech, I’ve never encountered this. And definitely not without upfront disclosure.”
He’s now available again—and hopefully joining the original client project.
This got us thinking.
Why do some companies install monitoring software in the first place?
It’s usually about:
- Productivity tracking
- Security/compliance
- Billing or audit support
- Peace of mind when managing remote teams
73% to 80% of businesses admit they monitor employee or contractor activity in some form. And some studies even suggest productivity goes up, at least on paper.
But… At what cost?
- Trust drops
- Resignations happen
- Burnout and disengagement potentially increase
- And your strongest people start looking elsewhere
A 2023 survey found that over 56% of employees feel stressed knowing they're being tracked. Other research links monitoring to lower job satisfaction and higher turnover, especially in knowledge work.
For fast-moving tech companies, time and output matter—we get it. But so do morale, loyalty, and retaining your best freelancers and team members.
So, what can you do instead?
- Focus on outcomes, not hours
- Have regular, human check-ins
- Use transparent tools (with opt-in, not surveillance)
- Build trust by sharing goals, not dashboards of mouse clicks
- And if you do track something, always communicate it clearly
We’re not saying “never use tools.” But if trust is part of your culture—and if you're working with top-tier professionals—consider how it all lands.
Because sometimes, it only takes 36 hours for a great engineer to walk away.
Have you seen this happen? Would love to hear your perspective.
#remotework #leadership #futureofwork #techteams #contractors #talentacquisition #gigsremote
