Abstract:
With the rapid growth of digital workplace trends, employees increasingly engage
with the internet during working hours, creating new challenges for organizations
worldwide. One such challenge is cyberloafing, which refers to non-work-related
online activities during work hours. This has attracted growing attention in developed
economies but remains underexplored in developing countries, particularly in the
banking sector. Addressing this gap, the present study investigates the impact of
cyberloafing on employee performance in public and private banks in the North
Central Province of Sri Lanka, with a focus on three distinct categories: social
cyberloafing (e.g., social media use), informational cyberloafing (e.g., reading news
or research), and leisure cyberloafing (e.g., playing video games or watching videos).
A quantitative research design was employed, using quota sampling to collect data
from 332 banking employees. Structured questionnaires were administered, and the
data were analyzed using descriptive statistics and multiple regression analysis. The
results indicate that social and informational cyberloafing positively influence
employee performance, as these activities help reduce stress, refresh cognitive focus,
and enhance job satisfaction. In contrast, leisure cyberloafing exerts a significant
negative effect on performance, primarily by reducing concentration and
productivity. The findings highlight the dual nature of cyberloafing, demonstrating
that some forms can serve as constructive mental breaks, while others undermine
work efficiency. The study recommends that banks implement balanced internet
usage policies that encourage limited positive forms of cyberloafing while restricting
excessive leisure browsing, thereby fostering both productivity and employee well-being, and advancing understanding of cyberloafing in a developing economy
context.