The Damage Done: Why Every Workplace Needs the Rule

The Damage Done: Why Every Workplace Needs the Rule

Every organization needs the no asshole rule as mean-spirited people cause extensive damage to victims, bystanders, organizational performance, and even themselves.

Damage to Victims

Victims of workplace assholes suffer greatly. Research and anecdotal evidence highlight numerous negative impacts:

  • Psychological and Physical Health Issues: Victims experience increased anxiety, depression, and burnout, as well as physical symptoms like poor sleep and chronic fatigue.
  • Reduced Job Satisfaction and Productivity: Demeaning acts, even small and frequent ones, sap victims' energy and commitment to their work.
  • Higher Turnover Rates: Employees subjected to abusive supervision are more likely to quit, affecting their life satisfaction and work commitment.

Impact on Bystanders

Bystanders also suffer from the presence of workplace assholes:

  • Increased Stress and Fear: Regular witnesses to bullying incidents report heightened stress and fear of becoming targets themselves.
  • Reduced Productivity: Bystanders' productivity drops due to the hostile environment created by bullies.
  • Higher Turnover Rates: Similar to direct victims, bystanders are also more likely to leave their jobs.

Assholes Suffer Too

Even the perpetrators of hostile behavior suffer consequences:

  • Career Setbacks: Assholes often face career setbacks due to their demeaning behavior, including getting fired.
  • Social Rejection: Their behavior leads to social isolation as colleagues and superiors avoid interacting with them.
  • Public Humiliation: Instances of public exposure and humiliation can be deeply damaging to their reputations.

Impaired Organizational Performance

Organizations suffer in multiple ways due to toxic employees:

  • Increased Turnover and Absenteeism: High turnover and absenteeism rates result in higher recruitment and training costs.
  • Legal Costs: Organizations face legal expenses from lawsuits related to hostile work environments.
  • Decreased Innovation and Cooperation: Fear-driven environments stifle innovation, creativity, and collaboration among employees.
  • Reputation Damage: Negative publicity can harm the organization's ability to attract and retain top talent and even shake investor confidence.

Calculating the Total Cost of Assholes (TCA)

Calculating TCA can be insightful despite its complexities:

  • Direct Costs: Include time spent by management to handle the perpetrator, legal expenses, and costs related to training and counseling the bully.
  • Indirect Costs: Include reduced productivity, increased turnover, absenteeism, and health-related costs from employee stress.
  • Example: One company calculated that a single high-producing yet abusive employee cost them an estimated $160,000 in indirect costs in a year.

What's Your TCA?

Consider multiple factors when estimating the TCA for an organization:

  • Damage to Victims and Witnesses: Includes stress, reduced motivation, absenteeism, and high turnover.
  • Woes of Certified Assholes: Include retaliation from victims, job loss, and long-term career damage.
  • Management Costs: Time spent managing bullies, counseling victims, and reorganizing teams.
  • Legal and HR Management Costs: Training, legal fees, settlements, and health insurance costs.
  • Negative Organizational Effects: Reduced innovation, impaired cooperation, and reputation damage.

Organizations should enforce the no asshole rule to minimize these extensive and often overlooked costs, thereby saving money and improving the overall working environment.