Break from the Grind February 2, 2016

Employees Report Spending Time at Work Not Working

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Many people think checking in on social media and surfing the web are the major distractions in today’s modern workplace, but it turns out traditional activities, like taking breaks to the office water cooler or break room and participating in small talk, still reign supreme as the most time-consuming workplace distractions.

According to a survey of more than 1,000 U.S.-based employees conducted by BambooHR, today’s employees spend less time “on the clock” involved with digital distractions than with traditional distractions. And contrary to conventional wisdom, frontline employees aren’t the ones spending the most time wrapped up in these common distractions—across the board, senior leadership indulges more.

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Twenty percent of employees think workplace distractions consistently hinder their workplace performance and efficiency, while 18% feel they enhance it.

Non-work related activities done by employees while “on the clock”  at work in order of most time spent include:

  • Taking breaks to the office kitchen/water cooler/break room (other than for lunch);
  • Taking trips to the bathroom;
  • Participating in small talk/gossip with coworkers;
  • Corresponding (phone, email, text, social media) with family members;
  • Surfing the web/online personal errands (e.g., paying bills online, online shopping, etc.);
  • Corresponding (phone, email, text, social media) with nonwork-related friends;
  • Using social media for non-work-related reasons; and
  • Watching TV (including mobile and computer).
NEXT: Which distractions help and hinder performance

Among those who say distractions enhance performance, the top five activities they feel enhance performance the most are:

  • Taking breaks away from their desks throughout the day (in the break room, at the water cooler);
  • Taking a dedicated lunch break away from their desks;
  • Corresponding with family members by phone, email, text, mobile chat, or other electronic means;
  • Participating in small talk/gossip with coworkers; and
  • Listening to music.

Among those who say distractions hinder performance, the top five activities they feel hinder performance the most are:

  • Using social media for non work-related purposes;
  • Corresponding with family members by phone, email, text, mobile chat, or other electronic means;
  • Taking breaks away from their desks throughout the day (in the break room, at the water cooler);
  • Corresponding with non-work-related friends by phone, email, text, mobile chat, or other electronic means; and
  • Surfing the web/online personal errands (like paying bills or shopping online).

Nearly half (47%) of employees feel they spend fewer than 30 minutes per week being unproductive because of unnecessary distractions. More than half (56%) of employees say they try to make up for time spent on personal, non-work-related activities while at work by working at home or in the office after standard work hours—39% of those spend more than 30 minutes per day making up for it.

Only 53% of employees take lunch each day, and one in four take lunch two days a week or fewer. The leading reason for not taking lunch is too much work to do (36%). One in five of those who don’t regularly take lunch say that when they don’t take lunches, it’s because they’ve traded them for other breaks they’ve taken during the day.
Data and Research February 2, 2016

Formal Written Retirement Plan Increases Confidence

While three-quarters of pre-retirees and retirees have some kind of financial retirement plan, only 16% have a formal written retirement plan, a LIMRA study found.
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A new LIMRA Secure Retirement Institute study finds that pre-retirees and retirees (ages 55 to 75 with financial assets of $100,000 or more) who have a formal written retirement plan are more likely to feel more confident they are saving enough for retirement and more than twice as likely to feel very prepared for retirement than those without one.

The study, The Benefits of Retirement Planning, found three-quarters of pre-retirees and retirees have some kind of financial retirement plan, but only 16% have a formal written retirement plan.

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Half of pre-retirees and retirees who have a formal written plan say they feel very prepared for retirement, compared with just 17% of those without one. Eighty percent of those with a formal written plan have estimated how many years their assets will last into retirement—nearly double those who don’t have a formal written plan (42%).

More than three-quarters (78%) of pre-retirees and retirees who have a formal written plan have developed a specific plan for generating income from savings; only 38% of those without a formal written plan have done so.

NEXT: Converting to guaranteed income

“Strikingly, most of pre-retirees and retirees we interviewed said they would not have been as financially successful without a formal written retirement plan, acknowledging their own lack of awareness and skill,” notes Matthew Drinkwater, PhD., assistant vice president, LIMRA Secure Retirement Institute. “Even the wealthier consumers said they found value in a formal plan—if only to review and vet their own ideas.”

The Institute found that pre-retirees and retirees who have formal written retirement plans are more likely to roll over and consolidate their assets within two years.  They are also more likely to convert a portion of their assets into an annuity within two years.

Pre-retirees with formal written plans are twice as likely to convert a portion of their assets into guaranteed income (22% vs. 11%). Retirees with formal written plans are three times as likely to convert a portion of their assets into guaranteed income (25% vs. 8%).

“Our research demonstrated that taking the time to create a formal written retirement plan—which involves a comprehensive discussion about goals, asset management and risk mitigation—often leads to better outcomes in retirement,” says Drinkwater.

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