8 Tips for Fixing a Toxic Work Environment

Recognizing a Toxic Work Environment: Signs and Solutions

Reading Time: 9 minutes

As a healing and leadership coach, I understand how important it is for business owners and leaders to create healthy work environments. A positive workplace leads to happy and productive employees, while a toxic work environment can hurt both people and the company. 

In this article, we’ll look at the signs that your office might be toxic. We’ll also talk about why it’s important to fix these problems and offer some solutions. First, let’s discuss why you should care about the emotional health of everyone in your office.

Why Recognizing a Toxic Work Environment Matters

woman yelling at coworkers

A report from AESC highlights that nearly 20% of people in the US have left a job in the past five years due to toxic workplace culture. This shows how serious the problem can be and why it’s crucial to make changes when needed.

Noticing a toxic work environment is important for many reasons. First, it affects how employees feel and work. When people are unhappy or stressed at work, they’re less likely to do their best. This can lead to poor performance and high employee turnover, which hurts the business.

Second, a toxic workplace can hurt a company’s reputation. Employees might talk about their bad experiences, making it harder to attract and keep the best workers.

Lastly, a healthy work environment is good for mental health. People spend a lot of time at work, and a positive atmosphere can greatly improve their happiness and health. So, in the next section, let’s look at the signs that your workplace might be dysfunctional and chaotic.

Is Your Business Considered a Hellscape to Your Employees?

Going to work at a place you hate is tough.

Joshua Roode spoke about his experience working in a toxic environment in a LinkedIn post. He had a toxic CEO and a passive managing director. What a delightful combination. The CEO’s frequent outbursts and disrespectful behavior created a culture of fear and mistrust, while the managing director’s lack of action further hurt team morale. 

Despite the difficult situation, Joshua learned the importance of strong and ethical leadership. He realized that while he couldn’t change the toxic behavior of others, he could control his actions and responses. 

That is happy case. Most of us aren’t that lucky as Joshua. Some of us sit in a therapist’s office for years trying to sort through all the gaslighting and verbal abuse.

Being hospitalized due to stress 

I can tell you that firsthand—I was hospitalized because of stress from my job. While I was strapped to a heart monitor with tears in my eyes, I said to the attending nurse, “I think I need to leave my job.” I paused and added a thought I had been having for years, “This place is going to kill me.” With fear in her eyes, the nurse asked me, “How are you going to pay for health insurance?” I am still gobsmacked when I think about that memory. 12 years later.

Now that I’m on the other side, as a business owner with my own employees, I never want any of my people to end up in that situation.

Business theorist W. Edwards Deming once said, “A bad system will beat a good person every time.” 

Once people feel beaten down and broken, they’re never the same. I know that was my experience. Even the hardest-working employees can have a tough time in a toxic work environment. It’s important to spot and solve these problems to make the workplace healthy and supportive.

Anyway, that is not you. You don’t want to create a hellscape of a place for your people. Next, let’s talk about signs your office has become a toxic place to work.

Signs Your Office Has Become Toxic

man at desk with a sign asking for help

Here are some key signs that your office might have turned into a toxic work environment:

1. Poor Communication and Lack of Transparency

When communication is bad, employees often feel left out or confused. Important information isn’t shared, and workers might not know about goals, policies, or company updates. This can cause frustration and misunderstandings. 

2. Cliques and Exclusion

If certain groups always hang out and work together while leaving others out, it can create a toxic environment. Nobody wants to work in an office that resembles the plot of Mean Girls or Mad Men. Projects may only go to the same group (or person), regardless of who’s qualified, which can make others feel isolated and unfairly treated.

3. Bad Leadership

Healthy leadership is key to a healthy workplace. If leaders don’t give clear direction or support, it can cause confusion and stress. One way to trash this is through micromanaging or being overly controlling. This kind of behavior can make employees feel undervalued and stressed. 

As digital marketer Perry Belcher once said, “Nothing will kill a great employee faster than watching you tolerate a bad one.” When poor leadership goes unchecked, it can quickly lead to a toxic work environment. This is hard to digest because, as leaders, we want to be seen as nothing but magnificent, magnanimous, and wonderful. This is why you need someone other than yourself or your favorite employee to give you an honest assessment from time to time.

4. Unmotivated and Disengaged Coworkers

When employees lack enthusiasm or initiative, it can create a negative atmosphere. The reasons can be simple, like the fact that it’s obvious you play favorites with certain workers while viewing others as deadweights. Or it could be that your standards are completely unrealistic. You know your organization best. Regardless of the cause, a general lack of interest in your employees can spread and harm productivity.

Employees may be sitting around in the break room, talking about how crappy this place is and how they are dunking your business on Glassdoor.com. Regardless, these types of workers may feel disconnected from their roles and the company’s goals, and they can kill your growth faster than you can say, “Who ate my lunch from the fridge?”

5. Limited Growth and Lack of Development Opportunities

Employees who have a good work ethic (you can’t train that into anyone who doesn’t want it—trust me) need to feel like they’re growing in their careers. If there’s no chance for advancement or support for skill development, people can feel stuck. And dangling the prospect of a 50-cent raise isn’t enough. 

You need to offer something that matters to them and is competitive in your industry. When people feel stuck, sad, and depressed, the only thing they can do is spread that sense of malaise and sadness to anyone who sits closest to their workstation.

6. High Employee Turnover

Nobody can work well when they feel tethered to their office all day, every day. When employees have to work long hours or feel pressured to be available outside of work, it can lead to burnout. This poor work-life balance harms both employees and the company because there’s no official downtime to rest.

7. Poor Work-Life Balance

Speaking of poor work-life balance, when employees are expected to work long hours regularly or feel pressured to be available outside of work hours, it can lead to burnout. A poor work-life balance harms both employees and the company. 

According to Hubstaff, about 77% of employees say they feel burned out at their jobs, even though 60% say they have a good work-life balance. This gap shows that many workers feel pressured to keep up productivity, even when it’s bad for their well-being.

Toxic people will pollute everything around them. Don't hesitate. Fumigate.

8. Widespread Burnout

Burnout is a common sign of a toxic work environment. Employees may show signs of exhaustion, cynicism, and a lack of accomplishment. When burnout is widespread, it shows that the workplace isn’t supporting employees’ mental and physical health.

9. Lack of Progress

If the company or department seems stuck and resists change, it can create a toxic environment. Employees want to feel like they’re part of something moving forward. Stagnation can lead to frustration and disengagement.

10. Excessive Gossip and Negative Office Politics

Rumors, power struggles, and backstabbing are signs of a toxic work environment. Don’t turn your office into a scene from the Game of Thrones. Nobody needs that kind of drama. These kind of behaviors make the workplace hostile and damage relationships. 

11. Bullying or Harassment

Verbal abuse, intimidation, or discrimination should never be allowed. A culture of fear or hostility is a clear sign of a toxic work environment. Address these issues immediately to ensure a safe workplace.

Speaker and author Mandy Hale advises, “Toxic people will pollute everything around them. Don’t hesitate. Fumigate.” It’s essential to address toxic behavior quickly to prevent it from affecting your entire organization.

12. Lack of Trust Between Employees and Management

You know stuff is bad when you have other employees tasked with babysitting and monitoring others in the office. When trust is missing, employees may feel constantly watched or questioned. This form of micromanagement can cause stress and resentment tantamount to a lack of autonomy and motivation, leading to decreased productivity and morale. 

13. Unclear or Constantly Changing Expectations

If goals and priorities shift frequently without explanation, employees may feel unsure of what’s expected of them. Unlike a cat chasing a laser pointer, emotionally healthy people will get tired of the bar constantly moving. This lack of clarity can lead to confusion and decreased productivity. Nobody can work effectively in a place where they have no real idea of how to please their boss. As a leader, you need to provide your team with clear and consistent expectations.

14. Lack of Recognition or Appreciation

Last time I checked, everyone likes to know their work is acknowledged. Employees aren’t just working for money—they want validation for who they are as people. When achievements go unnoticed or unrewarded, they may feel undervalued. You don’t have to send a mass email blast every time someone does well; not everyone wants that kind of attention. Sometimes, a simple sticky note on their laptop can do the trick. We all want to know we’re improving.

Also, don’t focus solely on the negatives. When you concentrate only on mistakes rather than successes, it can make people feel incompetent and scared that criticism is just around the corner. This can create a toxic work environment.

15. Unethical Practices or Disregard for Company Values

Please don’t be sleazy. It looks bad, smells bad, and can even be illegal. If employees are pressured to cut corners or compromise their integrity, it can lead to a toxic environment. When company values aren’t reflected in everyday operations, it creates confusion and frustration. Upholding ethical practices is essential for earning trust and respect both inside and outside the company.

I trust you’ve taken these signs to heart. Next, let’s talk about how you can repair the damage and fix a toxic work environment.

8 Tips for Fixing a Toxic Work Environment

group of people at staff meeting

Addressing a toxic work environment means taking action to make things better. Here are some steps you can take to create a healthier workplace:

1. Improve Office Communication – Mind Your Words

Learn how to use the right words with your people. Also, make sure everyone feels comfortable talking openly and honestly. Hold regular meetings to share updates and let employees speak up about any concerns they have. For example, you could have monthly “town hall” meetings where anyone can ask questions or share their thoughts. 

2. Promote Inclusivity – Make Everyone Feel Welcome

Create a welcoming environment where everyone feels important and respected. Set up activities that involve people from different backgrounds and make sure everyone has the same chance to participate. For example, you might organize team-building events that celebrate cultural diversity.

3. Support Leadership Development – Create Opportunities For Those Who Want It

Help leaders become better by offering training and support. This could include workshops, online courses, or pairing employees with mentors or coaches (like me – hint, hint).

Most people leave only because there is no more room for them to grow. A 2022 report from McKinsey shows that 40% of workers quit their jobs mainly because they aren’t happy with their chances to move up in their careers. This dissatisfaction isn’t just a trend; it shows a real change in what employees expect when it comes to growth and development in their roles. So keep your good people and reduce the time and money spent finding new talent.

4. Recognize and Reward Employees – Everyone Loves to Feel Special At Times For A Job Done Well 

Show appreciation for employees’ efforts and successes. Celebrate achievements publicly and give meaningful rewards. For example, you could have an “Employee of the Month” program with prizes or recognition at company meetings.

5. Encourage Work-Life Balance – Remove the Guilt for Not Working 75+ Hour Work Weeks

Support work-life balance by offering flexible hours and remote work options. Encourage employees to take breaks and care for themselves. This might include allowing flexible scheduling or providing wellness programs.

6. Address Bullying and Harassment – No Mean Behavior Allowed

Set clear rules against bullying and harassment. Train everyone on respectful behavior and create a safe place for employees to report any problems. For example, you could have an anonymous hotline for reporting issues.

7. Foster Trust and Accountability – Create An Environment of Safety

Build trust by being open and responsible. Encourage honest conversations and support employees’ needs. This could involve regular check-ins with employees to understand and address their concerns.

8. Uphold Ethical Practices – Remove Shady Behavior From Your Office 

Make sure the company’s values are part of everyday actions. Encourage ethical behavior and hold everyone accountable. For example, you could have a code of conduct that everyone follows.

The image below summarizes my tips. Next, I will share my final thoughts.

8 Tips for Fixing a Toxic Work Environment

Final Thoughts

Recognizing the signs of a toxic work environment is the first step to making your workplace healthier and more productive. By solving these problems and making positive changes, business owners and leaders can create a supportive and successful place for everyone.

If you’re a business owner or leader dealing with a toxic work environment, I can help. As a business coach, I offer personalized advice to help you overcome challenges and build a positive workplace culture. Feel free to contact me if you need assistance. I’m here to help you create a better work environment and trust yourself to handle future challenges.

I also invite you to listen to this episode from my podcast, where I talk about how to be more honest with others and yourself.