15 Workplace Productivity Statistics Leaders Should Know for 2026

The nature of work is changing almost every day. Leaders have to decide which work arrangements and tools will be best for employee productivity, while also balancing employee well-being and work-life balance. The best way to make an informed decision is to cut through the opinions and look closer at the data. Read about these recent workforce productivity statistics to see which data-backed trends may affect your workplace.

Statistics about the impact of remote and hybrid work models

Remote and hybrid work have become standard work environments today, but understanding how they truly affect productivity and employee satisfaction is key to deciding what’s best for your team.

1. Remote work boosts productivity by 40%

Source: Forbes, Bureau of Labor Statistics
One of the hardest questions leaders ask themselves today is whether allowing employees to work from home will boost their productivity. Forbes sourced a variety of data from several leading research groups and found that remote workers were 35-40% more productive than their in-office counterparts on average. However, it’s important to note that this depends on how you measure productivity and what industry you’re in. For example, the Bureau of Labor Statistics found that productivity increased across 61 industries by an average of 0.05% for every 1% rise in remote workers. The gains were larger for certain industries, including financial services, publishing, computer systems and data processing, while some industries like insurance and broadcasting actually saw productivity losses.

2. 39% of employees prefer hybrid work models

Source: American Staffing Association
Employee sentiments around work have changed over time, but hybrid work appears to be the preferred way to keep employees engaged, productive and retained. According to research from the American Staffing Association, more employees (39%) would prefer a hybrid schedule compared to a fully remote (32%) or fully in-office schedule (29%). Employees with children are even more likely to prefer a hybrid schedule, with 46% of this group reporting they’d like to split time between the office and a remote location. Offering employees hybrid work is a top way to increase your organization’s talent reach and reduce turnover.

3. The right remote collaboration software increases productivity by 30%

Source: Slack
Whether your team is working in the office or distributed across different time zones, real-time collaboration tools have a serious impact on how productive they can be. Slack reports that real-time collaboration tools minimize the time spent switching between apps, reduce the need for meetings and improve work quality. When employees can communicate about what they’re working on without having to email a colleague or walk to their office, they save valuable time. On top of this, real-time communication tools also help employees build relationships, regardless of where they’re located.

Statistics about employee engagement and its role in productivity

Employees who are more engaged in their work are more productive, more creative and more likely to stay in their jobs. But how can leaders measure or enhance employee engagement?

4. Engaged employees are 18% more productive

Source: Gallup
Employees who feel engaged in their work are 18% more productive, according to Gallup. This translated to a 23% increase in profits for companies with highly engaged workforces. They also reduced absenteeism by 81%, quality issues by 41%, and turnover by anywhere from 18-43%.

5. 69% of employees cite lack of recognition as a productivity motivator

Source: Socialcast (via Forbes)
Employees are motivated by recognition. Socialcast reported that over two-thirds of employees say they would work harder if they felt more appreciated. Recognition doesn’t have to be huge, either – a simple “thank you” from a manager can go a long way. Leaders should implement employee recognition programs to ensure the organization regularly recognizes individuals, teams and departments for their achievements.

6. Mental health support has a 4:1 return on investment

Source: National Safety Council
Stress has a major impact on mental health, which in turn, affects employee productivity. While it can be hard to measure exactly how investments in mental health directly impact employee productivity, NSC research shows that mental health issues cost teams in lost productivity. For every $1 a company invests in employee mental health, it sees a return of $4 in reduced medical spending, better productivity, reduced absenteeism, and lower spending on disability payouts.

Statistics about technology and automation in enhancing efficiency

Automation and AI have revolutionized how people work, and companies are adopting these tools at a breakneck pace. But are those investments worthwhile? And how do you decide what to automate or what tools to introduce?

7. Nearly half of routine tasks can be automated

Source: McKinsey
Automation saves employees time and frees their focus for more important work. McKinsey found that the activities that take up 45% of employee time could be fully automated simply by using current technology. While many companies have already automated repetitive tasks like data entry, scheduling, email sorting and generating reports, AI advancements have resulted in automation expanding to more complex tasks like data analysis and individualized content creation.

8. Generative AI increases productivity by 66%

Source: NN Group
Studies consistently show that AI leads to productivity growth — and the more complex the task, the more AI can help. Because AI processes information quickly and with fewer errors, it reduces the number of hours worked to complete the same task. While the NN Group study found that AI increased productivity by 66%, the amount varied greatly depending on the work that needed to be done. For example, customer support agents increased productivity by about 14% using AI, while professionals could write 59% more business documents using generative AI. The biggest gains were for programmers, who leveraged AI to code 126% more each week.

9. 58% of employees use AI tools in some capacity

Source: ActivTrak 2025 State of the Workplace
AI is already entrenched in the workplace, with 58% of today’s workers using it in some capacity. This is a 107% increase from 2022, and that increase is only expected to grow in the coming years. However, it’s important to note that AI appears to contribute to longer work days and lower focus time for these same employees. Leaders need to create strong policies around how employees use AI, as well as finding the right AI tools, to ensure it’s a help rather than a distraction.

Statistics about time management and work environment factors

How, where and when employees work impacts their productivity and the quality of their work. Leaders need to understand how time management and work environment affect employee productivity.

10. Employees lose up to 25% of the work week to distractions

Source: Insightful
Digital notifications, competing priorities, meetings, personal issues and other workers all compete for your employees’ attention, and this adds up. Insightful found that nearly 36% of managers said their employees lose anywhere from one to five hours a week to distractions, while 34% reported their employees lose six to 10 hours a week. Leaders must find ways to reduce distractions for their workers – especially from the number one distractor: other employees.

11. Flexible scheduling makes employees feel 43% more productive

Source: Gartner
Flexible schedules have been shown to improve employee experience and job satisfaction, but they also make employees feel more productive. This is because workers with flexible schedules have more autonomy and control over their time, so they can do their work when they’re in the right headspace. Flexible schedules also give them more control over personal issues, so workers are less likely to be distracted because they have more choice over when they work.

12. Open office layouts reduce productivity by 66%

Source: Rivier
For several decades, companies have implemented open office floor plans, usually in an attempt to increase employee collaboration. Unfortunately, human speech is the biggest distraction in the workplace, and those open office plans usually end up as a minefield of people talking. Workers in open offices are two-thirds less productive than those who work in a private office (or from home). While most leaders can’t restructure their offices to give every employee a private office, they can offer quiet rooms, work-from-home opportunities for focus time or even noise-canceling headphones.

Statistics about training, development and leadership influence

Leadership needs to be part of any productivity improvement plans. Let’s explore some data from Gallup, McKinsey, and more about their role in organizational productivity.

13. Strengths-based development increases engagement by 67%

Source: Gallup
Offering development opportunities to employees improves their productivity by bolstering their skills. In addition to this, managers who focus on employees’ strengths make those employees feel more connected at work, leading to higher engagement. Higher engagement rates result in 17% higher employee productivity, as well as better business outcomes like improved profitability and better quality products.

14. Effective leadership improves team productivity by 25%

Source: Chicago Booth Review
Good supervisors improve employee productivity as much as 25%, at least at retail stores. While the Chicago Booth Review study focused on sales at two retail operations in the UK and the US, the findings can be applied to almost any team. High-performing managers increased labor productivity by up to 35% for their teams, essentially the equivalent of adding a fifth person to a team of four.

15. Cross-functional teams deliver 20% higher productivity

Source: McKinsey
Internal communication technologies like social media can improve productivity through better collaboration. When employees don’t have to go hunting through the office for the right colleague to talk to, they can save 20% of their workweek. Even when they’re not communicating directly with colleagues, companies that provide a searchable knowledge base can save employees 35% of the time they take looking for information. The more connected teams are throughout the company, the more productive each individual employee can be.

Leverage data to drive workforce productivity in 2026

The first step to enhancing employee productivity is understanding your organization’s specific productivity metrics. Use ActivTrak’s workforce productivity monitoring suite to get data and insights into what drives productivity, like employee engagement, focus time, tool usage and distractions. Schedule a demo to see how ActivTrak empowers leaders to fine-tune their employees’ productivity and maximize performance outcomes.