Companies Considering Banning Social Networking Sites  

Workers who spend time on social networking web sites such as Facebook could be costing UK firms over US $250 million a day, a study has calculated. According to employment law firm Peninsula, 233 million hours are lost every month as a result of employees "wasting time" on social networking.

The study - based on a survey of 3,500 UK companies - has concluded that businesses need to take firm action on the use of social networks at work. Some firms have already banned employees from accessing Facebook and similar web sites.

Mike Huss, director of employment law at Peninsula, has called on all firms to block access to sites such as Facebook. He states: "Why should employers allow their workers to waste two hours a day on Facebook when they are being paid to do a job?" 

Quick! Facts!

More than three-fourths of executives who responded to a McKinsey survey said that they plan to maintain or increase their investments in technology trends that encourage user collaboration, such as peer-to-peer networking, social networks and Web services. Managers spend up to two hours a day searching for information, and more than 50 % of the information they obtain has no value to them. Majority of managers in the survey said they store their most valuable information on their computer or individual e-mail accounts, with only 16% using a collaborative workplace such as a company’s intranet portal. :: (Accenture, 2007) ::