Eliminating a Toxic Work Culture

Eliminating a Toxic Work Culture

By Rose Byass

The Importance of Workplace Culture: How It Impacts Business Success and Employee Well-Being A thriving workplace culture is a win for both business leaders and employees. Culture is far more than just a feel-good element—it directly contributes to achieving measurable results. In this article, we will explore what workplace culture truly means and how cultivating a psychologically safe environment can help employees not just survive, but thrive in their roles. Leaders will gain valuable insights on how to elevate culture and apply strategies that enhance productivity and engagement. 

The Impact of Workplace Culture on Performance I have always been intrigued by workplace performance—both its successes and shortcomings—and the factors that breed toxic environments. Most employees genuinely want to perform well at work, and I believe their intentions are rooted in a desire for income, security, and career fulfillment. However, a toxic culture can easily undermine even the best employees, leading them to become less productive and disengaged. On the other hand, eliminating toxicity can positively impact profitability, business solutions, and overall morale. 

What Constitutes a Toxic Workplace Culture? A toxic culture is one that perpetuates bad habits, negativity, bullying, and poor retention, all of which lead to decreased productivity. It’s an environment that fails to provide stability, professional growth, or order—ultimately damaging company profits, employee health (both mental and physical), and the company’s reputation. One key factor in cultivating a toxic culture is a failure to modernize policies or update the governance framework. When an organisation lacks structure, it often leads to chaos, which is fertile ground for toxicity. Workplace culture isn’t easily defined by one set of terms; it’s a holistic concept. At its core, culture is a blend of company values, leadership ethos, and the direction set by the leaders themselves. Culture can be either a strength or a weakness, largely depending on how leadership defines and upholds it. 

Red Flags Indicating a Toxic Workplace: 

• Gossip and unfriendly behavior toward new employees
• Disorganised recruitment processes and poorly executed employee inductions
• High employee turnover and low retention
• Chronic lateness, absenteeism, or misuse of company time
• Employees working long hours outside of agreed contracts, failing to meet deadlines
• Lack of leadership direction and guidance
• Absence of company values
• No employee benefits programs (e.g., mental health support)
• Hasty resignations without proper handover
• Negative feedback from customers or stakeholders

A strong company culture is one that is proactive in identifying red flags and adapting its management strategies to foster a positive work environment. 

Key Signs of a Toxic Workplace Culture 

1. Disorganised Recruitment and Low Retention

 One of the most significant challenges companies face is retaining key staff while attracting new talent. High turnover signals deep-rooted issues within the company. Not only does this affect productivity, but it also incurs the cost of frequent recruitment and training efforts. Leaders must uncover the root causes of turnover to address them effectively. Common causes of high turnover include: 

• Lack of recognition, challenge, or appropriate compensation
• Micromanagement or bullying from supervisors or colleagues
• Overwork or underwork (a lack of stimulating work)
• Poorly executed inductions or onboarding processes

A disorganised induction process, especially in the first few weeks, can leave a new hire feeling unwelcomed and unsupported. During this crucial probation period, employees often evaluate the company just as much as the company evaluates them. If the company underperforms, employees will quickly look for opportunities elsewhere. The effects of low retention are far-reaching: disengagement, dissatisfaction, customer dissatisfaction, and an overall decline in company performance. 

An Example of Poor Induction: I once joined a large company and experienced a chaotic first day. I was left waiting for nearly an hour at the gate for a security pass. Upon arrival, there was no desk, no computer access, and no induction paperwork. My first month was filled with administrative mishaps, including payroll errors and missing company equipment. This disorganisation reflected a serious lack of communication between HR, administration, and my line manager. Ultimately, this led to frustration and a negative experience. The solution: Establishing a standard operating procedure (SOP) for onboarding new employees is crucial. The induction process should cover all necessary administrative tasks, company values, health and safety protocols, and key responsibilities. A simple but structured induction can set new employees up for success and create a welcoming environment that fosters long-term retention. 

2. Lack of Clear Company Values

Clear company values guide employees through difficult times and serve as a moral compass. When a company lacks clear values, it often leads to confusion and misalignment among staff. The issue arises when a company grows rapidly, and its values are not updated or effectively communicated to employees. Without clear values, employees struggle to understand the company’s mission, which can create disengagement and friction within the team. 

3. Chronic Lateness and Absenteeism

Employees who consistently show up late or misuse company time can harm both company culture and productivity. While it may seem like a minor issue, persistent tardiness often reflects deeper issues such as disengagement, poor management, or lack of respect for company time. This behavior can also be indicative of larger cultural issues, such as micromanagement or unclear task expectations. The solution: It’s important to address tardiness with a holistic approach. Start by having one-on-one conversations with repeat offenders to understand underlying causes. Additionally, assess leadership styles—are managers setting a good example and promoting company values? Often, tardiness is a symptom of poor management or disengagement, and addressing these root causes is essential to improving overall performance. 

The Role of Leaders in Shaping Workplace Culture Leaders play a crucial role in cultivating a positive or toxic workplace culture. A leader’s responsibility goes beyond driving profits—it also includes fostering an environment where employees can thrive. Toxic leaders—whether micromanagers or overly passive figures—allow detrimental behaviors to flourish, leading to a toxic environment. A toxic leader might actively control every aspect of their team’s work or fail to address toxicity by neglecting to implement proper policies and oversight. Both types of leaders ultimately create a hostile and unproductive workplace. As leaders, it’s essential to demonstrate the company’s values, actively address toxic behaviors, and create a workplace where employees feel valued and supported. Strong leadership directly contributes to a healthy culture that supports both employee well-being and organisational success. 

Conclusion: Improving Your Company Culture with Robust Leaders Even if you think your company’s culture is unnoticed or unimportant, rest assured, it exists. Whether positive or negative, your company culture impacts every aspect of your business. Robust Leaders can help you identify areas for improvement, implement positive changes, and foster an environment where both your employees and your business can succeed. Let us guide you in transforming your workplace culture into a powerful driver of success.