Workplace conflict is costing UK businesses billions – here’s how Teams Glued helps high-performing teams overcome It

A group of five people sit around a table in a meeting room. Four are actively talking and gesturing, while one man in the center looks frustrated and rests his head on his hand—highlighting workplace conflict even in high-performing teams. Laptops and papers are on the table.

Introduction

Conflict at work isn’t just uncomfortable—it’s expensive. According to ACAS, workplace conflict costs UK businesses an estimated £28.5 billion annually, with nearly 44% of working-age adults reporting conflict in the past year. For high-performing teams, unresolved tension can derail projects, damage morale, and even lead to resignations. But conflict doesn’t have to be destructive. Managed well, it can spark innovation and strengthen collaboration.

The scale of the problem

Acas research reveals:

  • Prevalence: 2 in 5 employees experience workplace conflict each year—the highest level ever recorded.
  • Causes: Performance and capability issues (38%) and personal disagreements (33%) top the list.
  • Impact: 57% report stress, anxiety, or depression; 49% see a drop in motivation; nearly half a million resign annually due to conflict.
  • Cost: £28.5 billion—equivalent to over £1,000 per employee.

Conflict isn’t just a human issue—it’s a business issue. Lost productivity, absenteeism, and staff turnover all add up.

Why high-performing teams are not immune

Even the best teams face friction. Tight deadlines, diverse personalities, and ambitious goals can create flashpoints. Left unchecked, these tensions erode trust and collaboration. Research shows that unresolved conflict leads to lower job satisfaction, higher staff turnover, and poorer mental health.

The opportunity in conflict

Conflict isn’t inherently bad. When addressed constructively, it can:

  • Drive innovation through diverse perspectives.
  • Build resilience and stronger relationships.
  • Improve team processes and clarity of roles.

The challenge is turning conflict from a threat into an opportunity.

How Teams Glued helps

Teams Glued is designed for high-performing business teams that want to turn conflict into collaboration. Our immersive VR team-building experiences help teams:

  • Communicate openly in a safe, engaging environment.
  • Practice problem-solving under pressure without real-world consequences.
  • Build trust and empathy through shared challenges.
  • Develop conflict competence—the ability to “disagree well,” as Acas calls it.

By simulating real-world dynamics in a controlled setting, Teams Glued equips leaders and teams with the skills to manage tension before it escalates.

Practical takeaways for leaders

  • Act early: Most conflicts are resolved informally—don’t wait for formal grievances.
  • Train managers: Confidence in handling disputes is critical.
  • Create safe spaces: Encourage open dialogue without fear of reprisal.
  • Invest in team development: Tools like Teams Glued make learning experiential and memorable.

Conclusion

Workplace conflict is inevitable—but costly if ignored. With the right approach, it becomes a catalyst for growth. Teams Glued helps businesses harness that potential, ensuring high-performing teams stay aligned, motivated, and resilient. Click here to find out more about how to turn your company away day, team building challenge or training initiative into an immersive and engaging event that delivers actionable learning.