Some of you will resonate with this. It’s not a good feeling. You wake up thinking about it and go to sleep dreading it.
Working in a toxic environment.
Maybe your department is toxic, where employee problems are swept under the rug and no one’s willing to deal with issues. Or perhaps it’s a broader problem, where employees feel unsupported and are unhappy.
A toxic work environment is an organisation that’s filled with significant personal conflicts that can impact a person’s wellbeing and health. When it comes to toxic behaviour, research from Safe Work Australia says anything that could cause psychological harm and affect someone’s mental health is toxic.
Unfortunately, these workplaces are common in Australia. Research from SEEK has found that 55 per cent of Australians have found themselves in a toxic workplace at some point in their career, but only 45 per cent reported that behaviour. But what’s more troubling is that of those who did report the behaviour, 70 per cent said nothing was ever done about it.
Besides being against the law, a toxic culture impacts organisational productivity, culture, morale and reputation. It leads to decreased employee engagement, higher turnover rates and creates a heavy, negative cloud that covers problem solving, customer service and creativity.
In this blog, we’ll explore some telltale signs that your organisation is toxic, how to manage conflict before it escalates, the distinction between employee conflict and toxicity the crucial role HR plays in creating a healthy environment.
Is your organisation toxic?
Toxicity looks different and manifests itself differently in different organisations, so it’s not always easy to pinpoint the root causes, but there are some red flag signs you should watch out for.
- People become unwilling to stick their heads out and contribute.
- Noticeable increase in sick leave or people leaving work on time.
- People consistently leave right on time with little interest in social events.
- A general lack of engagement and participation.
- Poor communication from managers.
- Disrespectful responses in meetings, raised voices and huffing and puffing down the corridor.
- A general reluctance to speak up or say anything out of line.
These signs may seem small on their own, but together they paint a clear picture. So, what can you do if you recognise them in your workplace? Let's look at how to deal with it.
How to manage toxicity
The key is taking action before the culture deteriorates further. Being proactive within HR and more widely across your organisation is a great way to manage toxicity within a team. So being aware is the first step.
And it’s the most important. Learn the signs of toxicity in your organisation by being aware of what you’re seeing, feeling and hearing in your work environment. Toxicity thrives in silence and confusion.
Encourage managers to also be honest with their team and check in with employees regularly about how people are doing. When employees know they’ll be heard, they’re more likely to raise concerns early and work through them productively, rather than letting resentment bubble away in the background.
Not all conflicts and tiffs in the workplace are bad. But when it’s ignored, it turns toxic. Help managers learn how to identify and handle issues early. Give them tools for facilitating tough conversations and knowing when to bring in HR. The goal is to keep disagreements from becoming dysfunctional and show employees that conflict can be healthy, not harmful.
Listen before it’s too late. The best time to address toxicity is before things go wrong. A proactive approach gives HR more influence, not less.
Tiffs don’t equal toxicity
Even in healthy organisations, employee conflicts happen. And not all of them need to be investigated. But of course, some do because a misunderstanding leads to conflicts, and conflict is a breeding ground for a toxic workplace.
One of the challenges is knowing when HR should step in. Many conflicts are isolated between two employees with no clear witnesses, often turning into a “he said, she said” situation.
So what can you do? It starts with prevention. Having clear, enforceable internal policies helps set expectations early. Be specific in your employee handbook about unacceptable behaviours, like inappropriate language, passive-aggressive communication, or undermining others. Being clear and having good communication is important.
To bring policies to life, use real-world examples in training. Scenarios like someone taking credit for a coworker’s work or tension after a missed promotion help employees understand what the boundaries look like in practice and how to respond before issues grow.
Some employees might not be able to deal with the frustration. When that happens, HR should understand the employee is at the desperate stage of trying to fix the problem before they consider quitting, if they haven’t already thought about it.
If you’re not prepared to do something about a toxic employee or problem, employees will decide for you and leave your organisation.
The reality
Even with clear policies in place and proactive prevention, conflicts and complaints will still arise. And when they do, how HR responds can make or break employee trust.
In today’s work environment with remote work and evolving team dynamics, employees won’t be best friends with everyone. That’s fine. But what’s not okay is disrespectful or harassing behaviour. When incidents happen, they should never be dismissed or brushed off. They must be taken seriously and fully investigated.
Dismissing employee concerns as “just a misunderstanding” doesn’t get you anywhere. Employees may feel unheard and stop coming forward. That silence can foster disengagement, resentment and a toxic culture.
There are plenty of HR horror stories out there, and like any profession, not every case is handled well. Some employees don’t feel heard, often because of biases, workload, or unclear priorities within HR itself.
One thing is for sure, employees need to feel that they can go to HR. They might not like what HR says, but they have to be comfortable speaking with someone in the department.
About us
Martian Logic helps HR teams tackle the hard stuff, like toxicity before it spirals. Our HRIS gives leaders the tools to listen deeply, act quickly, and turn vague complaints into clear action. We make it easier to spot red flags, train up great managers, and create feedback loops that go somewhere. Whether you’re dealing with dysfunction or just trying to build something better, we help you operationalise care without compromising on clarity. Ready to rebuild trust where it matters most?
