The Inevitability of Time

It is a proven problem but not a widely known fact. The place that I work involves law enforcement, where time is of the utmost essence, even compared to most other fields.

“Say what, how?” you might ask. Yes, Daylight Saving Time (DST), when we roll our clocks an hour back or forward, is linked to hundreds of millions in economic impacts on the U.S. economy yearly. This occurs through productivity losses, increased accidents, higher healthcare costs, and potential short-term effects on financial markets.

Sleep disruption and general loss of alertness following the time change reduce efficiency at work, contribute to traffic and workplace accidents, and increase the rates of certain health problems requiring medical attention.

1. Productivity losses
• Cyberloafing: In the days after the spring shift, employees may be more likely to use their work computers for non-work-related activities due to fatigue.
• Reduced output: Sleep loss can temporarily decrease workplace productivity and output.
• Estimated cost: Studies suggest these productivity losses contribute to hundreds of millions of dollars in annual economic impact.

2. Accidents and healthcare costs
• Traffic accidents: Research shows a short-term increase in car accidents after the springtime change, linked to sleep deprivation and reduced alertness.
• Workplace injuries: Fatigue following DST can lead to slower reactions and poorer concentration, increasing the likelihood of workplace injuries.
• Health issues: DST is associated with a temporary rise in heart attacks and strokes due to abrupt shifts in circadian rhythms, leading to higher healthcare costs.

3. Financial markets
• Increased volatility: Some studies suggest minor short-term stock market volatility after DST, potentially related to investor fatigue and impaired decision-making.
• Investor behavior: Sleep disruption can affect alertness and judgment, though this effect is less robust and more correlational than other DST impacts.

4. Other costs
• Energy consumption: While DST was intended to save energy, some studies indicate that modern usage patterns may result in little savings or even higher energy use.
• Administrative and software costs: Businesses spend time and resources updating systems, schedules, and software twice a year to accommodate DST.

Finances
Recent analyses estimate that DST continues to have a significant economic impact in the U.S.

Chmura Economics & Analytics calculated combined costs from health issues, workplace injuries, and traffic accidents at approximately $672 million annually.

A 2023 study focusing solely on lost productivity estimated around $434 million per year. Broader discussions for 2024 and 2025 suggest that, when considering additional indirect factors, total economic impacts could be higher, though “billions” is more speculative than firmly quantified.

Legal Pathways to End DST
Federal law allows U.S. states to opt out of DST and remain on year-round standard time under the Uniform Time Act of 1966. To adopt permanent DST, Congress must amend federal law. The bipartisan Sunshine Protection Act passed the Senate in March 2022 but stalled in the House. Meanwhile, some states continue passing enabling legislation that would take effect once federal approval is granted.