It is a very big dilemna. A lot of my orders come in during the day while people are at work. It also turns out that the biggest day for online orders is Monday, when people go back to work. Apparently, there is a problem. How big it is and to what extend it is affecting productively versus the improvement in moral is probably a very interesting question.
In addition, we are in a new world where people want their information NOW, not at 6:00 during dinner time. Plus, more people are invested in the stock market, so they want to know what is going on. I have always felt that an informed public was better for our country than an ignorant one. As a result, as long as employees are not abusing the internet, downloading bad software or visiting questionable sites, I think it is good for the company. You are always going to have some that abuse it, but you have that with coffee breaks, telephone calls, copy machines, sick days, etc. In my humble opinion, outlawingthe internetcompletely will not be good for your company.