Employee tardiness costs U.S. businesses nearly $61 billon a year, study finds
Montana and North Dakota workers are the most punctual, tallying just 10 minutes of lateness a week.
Arriving at work a few minutes late each day may not seem like a big deal, but the cost adds up quickly for U.S. employers. The average employee loses 35 minutes to lateness each week, which costs employers $166 per worker each year.
“Our findings paint a timely picture of the economic impact that tardiness brings to our desks, ringing up to a hefty $61 billion a year,” said Ismail Baumy, founder of the luxury watch company The Savvy Wrist. “It’s a wake-up call that punctuality is more than personal virtue; it’s a vital cog in the machinery of our economic success.”
The company’s survey of 3,000 employees found significant regional differences regarding tardiness. Montana and North Dakota workers are the most punctual, tallying just 10 minutes of lateness a week. On the other end of the scale, those in Maine are leisurely strolling into the office 15 minutes late each day (or 75 minutes per week), followed by New Hampshire workers, who are 70 minutes late each week. Because of California’s size, it is unsurprising that its employees cost the most to the state economy. Lateness costs the Golden State’s economy in excess of $10 billion each year.
Related: Happy employees are 12% more productive than unhappy ones
Among the other findings:
- On average, employees are tardy once a week, either physically arriving at work late or logging on from home behind schedule.
- Three-fourths of respondents viewed the idea of using a smartwatch for monitoring punctuality as overly intrusive. However, 63% said they likely would be more punctual if their employer gifted them a luxury watch.
- Six in 10 believe that wearing a particular brand or type of luxury watch could influence perceptions of a wearer’s professional demeanor in a work environment.
“In the quest for better time management, while smartwatches might tick toward the intrusive, the research also found that the charm of a luxury watch could just be the right ‘tick’ to prompt punctuality,” Baumy said. “It’s not just about keeping time; it’s about keeping faith with the value of every minute.”