✅ Conflict in the workplace: Trends to watch

The US job market remained steady despite a slight increase in layoffs, according to the Labor Department's latest Job Openings and Labor Turnover Survey. Job openings increased by more than 400,000 to 7.67 million in October, the highest in five months. Hiring declined by 218,000, and layoffs increased to 1.85 million, the most since early 2023. The layoff rate rose to 1.2% in October, up from 1.1% in August, while the quit rate dropped to 1.8%, indicating cautious worker sentiment.

As workplace conflict continues to evolve, three key trends are emerging for 2026: increased use of AI to manage conflict, more management time spent on conflict resolution and expanding employee rights and expectations. According to PwC, 54% of workers have used AI in the past year, leading to more complex grievances. Managers are spending more than four hours a week on conflict, and HR teams are feeling overwhelmed. Additionally, employee rights are expanding, with the UK Employment Rights Bill proposing 'day-one' rights to claim unfair dismissal.

Employers are prioritizing cost containment over talent attraction and retention as rising medical and pharmacy costs reshape the benefit landscape, according to Brown & Brown's Employer Health and Benefits Strategy Survey 2026. Employers are implementing tactics such as reviewing stop-loss plan structures and working with digital health companies to manage performance and costs. Despite budget-related pressures, employers are maintaining investments in employee well-being programs and parental leave.