Wells Fargo has fired more than a dozen employees for allegedly ‘faking’ their computer activity to make it seem they were working when, in fact, they were not.
It’s reported that the employees, who were part of the firm’s wealth and investment management unit, were found to be using devices and/or software to simulate keyboard activity, creating the impression that they were working when they were not.
The financial institution said the staff had been dismissed or had resigned "after review of allegations involving simulation of keyboard activity creating impression of active work".
"Wells Fargo holds employees to the highest standards and does not tolerate unethical behavior” a spokesperson for the bank said.
The findings have been reported to America’s Financial Industry Regulatory Authority (FINRA), according to the Wall Street Observer.
It’s not yet clear how Wells Fargo rumbled the employees in question, nor whether they were working remotely, although the latter seems highly likely, as the bank has operated on a hybrid model since 2022.
Mouse jigglers and ‘productivity paranoia’
The practice of using “mouse movers” or “mouse jigglers” gained traction during the pandemic as remote work became the norm.
The gadgets, which can be bought on Amazon for as little as $10, do exactly what they sound like. Workers can put their computer mouse on top of the small device, which then automatically and periodically moves the mouse to prevent their computer going into sleep mode or changing their Teams status to "away", while they step away from their desk for a brief period.
The rise in popularity of these products came among a wave of ‘productivity paranoia’ - the concept that even if employees are working effectively, managers won’t believe it if they are out of sight.
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While many bosses have trusted their staff to get on with the job, a high number have also felt the need to step up their micromanagement and keep tabs on virtually every moment their WFH employees during a working day.
This has reached such an extent that many remote workers are apprehensive about even stepping away from their desk for five minutes to stretch their legs or pop the kettle on, for fear that they’ll miss a Teams or Slack message or, worse, their status will switch to ‘idle’, ‘away’ or another variation that signals ‘I am not at my desk’.
What started as a ‘hack’ for remote employees - who were genuinely working but were keen to avoid excessive micromanagement - is being abused by a minority of workers.
HR perspective
From an HR perspective, this incident at Wells Fargo raises several critical issues. Firstly, it highlights the importance of trust between employers and employees in remote working environments. HR professionals must balance the need for oversight with the trust they place in their workforce.
Surveillance software, which can range from tracking keyboard strokes and mouse movements to even more intrusive methods such as taking periodic screenshots of a worker’s activity, is one option.
However, with this move, whatever gains are made in productivity often come at the expense of employee trust and morale.
A 2024 Forbes Advisor survey finds that 39% of workers report that their employer monitoring their online activity negatively impacts their relationship with the company, and 43% say it negatively affects company morale.
Excessive monitoring can lead to a lack of trust and low morale, while insufficient oversight might lead to abuses like those seen at Wells Fargo.
Secondly, this case underscores the necessity for clear policies and guidelines regarding remote work. Employees need to understand what is expected of them and the consequences of violating these expectations. Regular training and communication about ethical work practices are crucial in reinforcing these standards.
Moreover, the incident points to the potential pitfalls of relying heavily on productivity monitoring tools. While these tools can provide insights into employee activity, they can also be manipulated, as seen in this case. HR departments must therefore consider more holistic approaches to performance management that go beyond mere activity tracking to include outcomes and overall contributions to team goals.
Dr John Forth, Reader in Human Resources Management at Bayes Business School (formerly Cass), says: “Measuring mouse movements is likely to be a pretty poor way of measuring someone’s productivity in most desk jobs.
"It’s surprising that some employers haven’t developed a more sophisticated approach to assess employees’ work. I would urge any employer with remote workers to develop KPIs that actually measure outputs rather than inputs.”
Similarly, Matthew Castillo PhD, Head of Employee Listening at Whole Foods, has previously told HR Grapevine that the impact of employee monitoring will depend on its execution, including levels of trust and psychological safety.
“There are more opportunities to misuse employee monitoring data than not which is why it is critical to be transparent with employees about how they are being monitored, why, and how the data will and will not be used,” he explains.
“Managers must ensure that employees trust them and feel empowered to share their opinions and feedback without fear of retaliation to ensure that employee monitoring does not hinder the employee experience.”
In conclusion, the Wells Fargo incident is a potent reminder of the complexities involved in managing a remote workforce. For HR professionals, it emphasizes the need for building a culture of trust, implementing clear guidelines, and adopting comprehensive performance management strategies. By addressing these areas, organizations can better navigate the challenges of remote work and maintain high standards of integrity and productivity.