15 Essential Workplace Conflict Statistics for Leaders

workplace conflict statistics

Updated Jan 13, 2025

Workplace conflict costs U.S. businesses a staggering $359 billion annually—a statistic that highlights just how common and costly disputes have become. Employees spend 2.8 hours per week on conflict resolution, and unresolved disputes affect everything from turnover rates to productivity. And yet, 72% of organizations do not have a formal policy in place to resolve workplace conflicts.

These numbers paint a clear picture: workplace conflict isn’t just an HR issue; it’s a financial one.

In this post, we’ll break down key workplace conflict statistics, explore their impact on organizations, and share strategies to manage disputes effectively.


Workplace Conflict Statistics at a Glance

  1. $359 billion is lost annually due to workplace conflicts.
  2. Employees spend 2.8 hours per week resolving disputes.
  3. Managers dedicate 20-40% of their time to handling conflicts.
  4. 49% of workplace disputes arise from personality clashes and egos.
  5. Lack of trust is the most commonly reported trigger for conflict issues.
  6. Absenteeism caused by conflict costs $3,600 per employee annually.
  7. Disengaged employees cost companies 18% of their annual salary.
  8. Conflict-related turnover costs U.S. businesses $1 trillion annually.
  9. Employees who experience conflict are twice as likely to consider leaving their jobs.
  10. Replacing an employee costs 50%-200% of their annual salary.
  11. Workplace conflict has doubled since 2008.
  12. 74% of HR leaders report increased conflict due to return-to-office mandates.
  13. 57% of employees trained in conflict resolution found it helpful, with 95% reporting positive outcomes.
  14. 72% of organizations do not have a formal policy in place to deal with workplace conflicts
  15. 49% of managers report feeling unprepared to address workplace disputes.

1. How Common Is Workplace Conflict?

Workplace conflicts are alarmingly frequent. Employees spend an average of 2.8 hours per week resolving disputes. This amounts to $359 billion annually in lost productivity across U.S. businesses, according to the CPP Global Human Capital Report.

Managers face similar challenges, dedicating 20-40% of their time to managing conflicts (Runde and Flanagan, Becoming a Conflict Competent Leader).

Unresolved conflicts ripple through organizations, lowering collaboration, morale, and efficiency. Proactively addressing these issues with conflict resolution strategies can prevent this drain on resources.


2. What Causes Workplace Conflict?

The leading cause of workplace disputes? The Workplace Peace Institute’s 2024 survey identified the following as the top triggers for workplace conflict in 2024:

  • lack of trust (73%)
  • personality clashes (72%)
  • and lack of role clarity (70%)

According to the CIPD Workplace Conflict Report, lack of respect is “by far” the most common trigger of serious conflict (reported by 66% of employees).

An older study by The Myers-Briggs Company found that personality clashes and egos account for approximately 49% of conflicts.

These factors often overlap, intensifying disputes, thus the importance of clear and consistent communication between leaders and their teams.


3. What Is the Real Cost of Workplace Conflict?

Workplace conflict has tangible costs. Here are three primary outcomes:

Increased Stress

Conflict-related stress significantly contributes to workplace absenteeism. According to Investopedia, the primary drivers of absenteeism include bullying, harassment, stress, and low morale – all of which stem from unresolved conflict or conflict avoidance8. The financial impact of absenteeism is substantial, with costs estimated at approximately $3,600 annually for each hourly worker and $2,650 for salaried employees.

Reduced Productivity

Unresolved conflicts erode trust and collaboration, leading to disengagement. Gallup reports that disengaged employees cost companies 18% of their annual salary.

Higher Turnover

Conflict-related turnover costs U.S. businesses $1 trillion annually. Replacing an employee can cost 50%-200% of their annual salary, meaning even smaller businesses face losses of $660,000 to $2.6 million annually (Gallup).

The CIPD Good Work Index 2024 supports those findings. CIPD found that employees who experienced workplace conflict were significantly less likely to be satisfied with their job (54% vs 77% for those without conflict) and twice as likely to consider leaving their jobs within the next 12 months (33% vs 16%).

For a more precise estimate, use the Resologics Conflict Cost Calculator.


4. Is Workplace Conflict Getting Better?

No. In fact, workplace conflict is on the rise. A Myers-Briggs Company report shows that conflict has doubled since 2008.

The return-to-office mandates of 2024 further fueled tensions, with 74% of HR leaders noting an increase in disputes (Gartner study). Hybrid work challenges and misaligned expectations are significant contributors.


5. Can Workplace Conflict Be Healthy?

Yes, workplace conflict can be beneficial when managed effectively. A Pollack Peacebuilding study found a moderately positive relationship between workplace conflict and job satisfaction, indicating that constructive disagreements can boost morale and innovation.

Conflict resolution training is also impactful. A CMOE report notes that 57% of U.S. employees have received conflict training, with 95% saying it helped them resolve issues positively.

The Workplace Peace Institute’s State of Conflict in the Workplace reveals that 72% of organizations do not have a formal policy in place to deal with workplace conflicts.


6. Are Managers Prepared to Handle Conflict?

Not sufficiently. 49% of managers report feeling unprepared to address workplace disputes effectively (DDI World 2024 Leadership Insights), and 25% of employees lack confidence in their managers’ conflict resolution skills (Myers-Briggs Conflict at Work Report).

This gap exacerbates conflicts and increases turnover. Investing in conflict management training for leaders equips them to handle disputes constructively and fosters healthier work environments.


Workplace conflict is inevitable, but its impact doesn’t have to be devastating. With the right tools and strategies, organizations can turn conflicts into opportunities for growth, collaboration, and innovation. The question isn’t whether you’ll face conflict—it’s how prepared you are to handle it.

Awesome conflict builds trust, fosters inclusion and diversity, and ignites innovation. Awesome conflict builds citadel strength in individuals, leaders, and organizations. But awesome conflict doesn’t magically happen without a little bit of elbow grease. Trust me, I know.

Evolve The Com is dedicated to transforming communication and conflict skills in the workplace. Contact us to schedule a free consultation and explore solutions to transform conflict in your workplace.

Written by Celesta Davis

Celesta Davis is the Founder, CEO, and Lead Collaborator of Evolve The Com. Drawing from her background in Sociology and over two decades of professional expertise, Celesta is a thought leader inspiring organizations to build better teams, develop better leaders, and transform conflict, culture, and communication in the workplace. Previous clients include some of the world’s most-known brands including Ford, Hewlett-Packard, and Fontainebleau. Celesta has appeared on the Oprah Winfrey Show, Primetime Live, and 60 Minutes as well as innumerable other media outlets.

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