Contrary to popular belief dress-down days will not boast employee morale. Findings from executive consulting company Jeff Magee International show just the opposite: Sloppy work attire, such as sneakers and jeans, leads to poor work habits. The Tulsa research group's yearlong study included 500 workers, managers, and entrepreneurs from Fortune 500 firms and small businesses. The respondents overwhelmingly reported that informal clothing causes a decrease in employee morality, productivity, and loyalty. So how can you stop the fraying of your company's moral fiber? Allow formal casual dress, says president Jeff Magee. That includes skirts, pressed pants, and collared shirts for men and women.