Friendships at Work – An Underrated Organizational Performance Driver

The I-O psychology literature backs this up. Research consistently finds that workplace friendships are linked to job satisfaction, organizational commitment, and lower turnover intentions. They build trust and psychological safety, enabling open discussion, effective communication, and the free flow of information. In fact, friendship at work has been shown to positively affect innovative behavior, not because friends necessarily generate more ideas, but because psychological safety makes employees more willing to share them.

For HR leaders, the implications are clear: cultivating conditions where friendships can flourish is not just a perk, it’s a performance strategy. Policies and practices that encourage informal connections through things like mentorship programs, peer recognition, shared spaces, cross-functional projects do more than “boost morale.” They create ties that keep talent engaged and committed. Onboarding programs that prioritize connection, specifically, building relationships with other employees, do significant heavy lifting in engaging talent and increasing commitment.(More on this here)

But there’s a catch. Friendships at work are a double-edged sword. They can breed cliques and in-group/out-group dynamics that undermine fairness and inclusion. Left unchecked, strong social bonds could distract from task performance or cause friction when professional and personal roles collide. That means HR must walk a fine line: encouraging connection without letting it tip into exclusion or perceived inequity.

So, how accommodating is your organization in supporting informal relationships? Are your systems designed only for output, or do they recognize that employees are not just workers but humans seeking connection? We believe that an HR leader’s role is not to “manufacture friendship,” but to remove barriers that make it harder to thrive.

Work friendships are not fluff. They’re the invisible scaffolding that holds up engagement, commitment, and innovation. Ignore them, and you risk disengagement and turnover. Nurture them, and you create the kind of workplace where people don’t just show up, they stick around, contribute, and flourish.

References:

Chen, Y. C., Wang, Y. H., & Chu, H. C. (2024). Meta-analytic structural equation modeling for exploring workplace friendship, well-being, and organizational commitment. Work, 79(3), 1039-1053.

Durrah, O. (2023). Do we need friendship in the workplace? The effect on innovative behavior and the mediating role of psychological safety. Current Psychology, 42(32), 28597-28610.

Fasbender, U., Burmeister, A., & Wang, M. (2023). Managing the risks and side effects of workplace friendships: The moderating role of workplace friendship self-efficacy. Journal of Vocational Behavior, 143, 103875.

Rath, T. (2006). Vital Friends: The People You Can’t Afford to Live Without. Gallup Press.

Xiao, J., Mao, J. Y., Quan, J., & Qing, T. (2020). Relationally charged: How and when workplace friendship facilitates employee interpersonal citizenship. Frontiers in Psychology, 11, 190.