Woman working on a laptop

The cost of shadow work

Uncovering the $1.7 trillion tax on company growth

Every week, employees are losing hour upon hour to invisible, time-consuming tasks that aren't core to the job they were hired to do.

We call it shadow work, and it's quietly costing trillions. From expense claims to travel bookings, these tedious tasks are draining time, morale, and money. We commissioned Forrester Consulting to reveal the true scale of the problem, and uncover what leaders can do to solve it.

Based on Forrester Consulting research commissioned by Perk

Key finding #1

The cost of shadow work every year

Across the countries we studied, shadow work costs businesses $1.7 trillion every year*.

  •  
    $116 bn
     €99bn France
  •  
    $220 bn
     €188bn Germany
  •  
    $34 bn
     €29bn Netherlands
  •  
    $51 bn
     €44bn Spain
  •  
    $128 bn
     £95bn UK
  •  
    $564 bn
      US
$1.7 trillion every year

*Forrester calculated the cost of shadow work in each country, then weighted the results by workforce size and average salary - meaning larger, higher-income economies have a greater influence on the total

Key finding #2

Employees lose 7 hours per week to shadow work

7 hours per week — average time employees spend per week on shadow work.

Key finding #3

The biggest shadow work drains

Some tasks are less frequent but trigger high levels of frustration. Others are everyday tasks that slowly drain people and their time week after week.

Major headaches

Low frequency - high frustration

Travel booking 18%

Organizing team events 14%

Everyday drains

High frequency - high frustration

Filling expense claims 17%

Managing supplier invoices for materials/services 16%

Key finding #4

The impact on employees

Shadow work isn't just a finance problem, it's an HR challenge too.

45% of employees feel burnt out as a result of shadow work

70% of decision makers say reducing shadow work would help attract and retain top talent

Shadow work is costing businesses over $1.7 trillion per year.

Download the full report to uncover the true scale of the problem and learn how you can solve it.

Download the report

Perk takes care of the work behind every trip, expense, and payment so you can focus on real work, with real impact.

Request a demo

About the research

This report is based on a multi-phase research program conducted by Forrester Consulting on behalf of Perk in September 2025 to quantify the scale and cost of shadow work and understand its impact on both business leaders and employees.

Perk surveyed: 721 decision makers in finance, operations, HR, and IT from small and mid-sized companies across the US, UK, Germany, The Netherlands, France, and Spain. 8,000 employees across the same geographies.