Growing Danger in the Workplace: File Downloading

03/05/07

According to various surveys, it happens millions of times every day. Employees, taking advantage of broadband Internet connections at work, download music, movies, games, and more.

What two ingredients make it possible to download a feature-length motion picture in as little as an hour? DSL and other speedy connections to the Internet, combined with peer-to-peer networks (think Napster). Such networks allow anyone connected to it to download files directly from the hard drives of other users.

The process couldn’t be easier, which is why the Yankee Group estimates people downloaded 5 billion music files last year. Game-maker Trymedia estimates 5 million games were downloaded in 2002. And consultant Viant says people download 3 million TV shows every day.

The Problem Is Bigger Than You May Think
Downloading files at work creates at least four big problems and risks for employers:

• Loss of productivity. If employees are busy downloading and watching music videos, who’s working? Access to broadband connections at work can make some employees feel like children with the run of a candy store. They sample everything in sight. Even those with greater control may find themselves tempted to find and download a beloved song, or a game for a child. That’s why productivity is the first casualty of peer-to-peer file sharing.
  
  
• Copyright violations. Downloading a movie or a song is theft of intellectual property. And companies can be held responsible for the actions of their employees. With sales of CDs dropping in the past two years, the Recording Industry of America and other entertainment industry groups are angry, and they are going after companies whose employees flout copyright laws.
  
  “The Recording Industry of America and Motion Picture Association of America mean business,” says Erin Patrick, PR Specialist at Websense, which markets Internet filtering and monitoring software. “They have sent letters to CEOs at Fortune 1000 companies, warning that corporations could be liable for violating copyright laws. It would be risky for companies to bet they might not follow through.”
  
  
• Degradation of your network. According to Patrick, “Networks affected by nonwork-related bandwidth consumption, such as employees downloading music or watching live sports Webcasts, can grind to a halt. This threatens the productivity and output of an entire organization.”
  
  
• Viruses. Patrick: “Peer-to-peer applications carry security risks because they communicate directly with other users’ computers, bypassing a company’s firewall and often entering the corporate environment without being scanned for viruses.”

Stop the Madness
There are a number of things you can do to keep file downloading from affecting your company negatively.

• Establish a policy. “Every company,” says G.Neil compliance attorney Ashley Kaplan, “should have an ‘acceptable use’ policy for electronic workplace tools like e-mail and the Internet. It should inform employees that these tools are for business use only.” If you want to permit a modest amount of personal e-mail or after-hours surfing, emphasize that any communication must conform to company anti-discrimination standards. “And, adds Kaplan, “don’t hesitate to ban unlawful file downloading altogether. You’re keeping people from committing a crime.”
  
  
• Instill a speck of fear. Let employees know that they should have no expectation of privacy when it comes to computer use at work—that you can and will watch their “tracks” to see what sites they visit, and that you might just read their e-mail. Such a policy goes a long way toward keeping employees on the straight and narrow.
  
  
• Use electronic controls. Websense and others offer software that keeps employees off peer-to-peer sites; renders popular shopping, sports, news, financial, or “hate” sites inaccessible; limits the kinds of applications that can run on desktop computers (e.g., no games); and enables you to monitor employee use of the Internet.
  
  “The time to do something about file sharing is now,” concludes Kaplan. “The risk of doing nothing grows every day.”

These G.Neil products can help you tame the wild frontiers of the electronic workplace:

Fast Answers for People Managers – Our concise reference guide provides quick answers and solutions to problems managers face everyday.

MyBiz Employee Handbook™ – Easy-to-use software allows you to create, edit and print your own handbook. It’s an excellent way to inform employees about your workplace policies regarding Internet and email use. Buy now and save $50 off the regular purchase price.

No Privacy: Legal Issues in Email – This dramatic video will help you and your employees avoid damaging career mistakes by teaching you why email should always be considered public information, how deleted email can be resurrected and come back to haunt you, the potential danger of forwarded messages, and why sensitive or confidential issues should never be discussed via e-mail. It also shows more effective ways to use email.