Why Poor Communication Costs Every Company Millions —
and What Leaders Can Do About It
Imagine every one of your employees losing $16,455 per year — not because of poor performance, but due to inefficient communication.
The new Grammarly study, conducted with over 1,000 business leaders and knowledge workers, reveals:
this is happening right now in 9 out of 10 companies.
The Shocking Truth About Modern Work
88% of working time is now spent on communication.
Knowledge workers dedicate over 19 hours per week solely to written communication — that’s nearly half of a 40-hour workweek!
Even worse: 78% report an increase in communication frequency, while 97% experience stress caused by poor communication.
We’re not just communicating more — we’re communicating worse.
The $16K Breakdown: Where the Money Goes
The numbers are staggering.
Companies in the U.S. lose $16,455 per employee, per year due to inefficient communication.
Across the nation, that’s a $1.6 trillion productivity loss — one trillion with twelve zeros, wasted through poor communication.
The Leadership Blind Spot
Here’s the real problem:
87% of leaders rate their company communication as “highly effective.”
Only 63% of employees agree — a 24-point perception gap.
Even more alarming: trust in leadership communication has dropped by 9%.
Today, only 70% of knowledge workers have confidence in their leaders’ communication skills.
The Devastating Impact of Poor Communication
Business Impact:
20% of business leaders have lost deals due to poor communication
32% of customer support workers are considering quitting because of it
11% more time is spent revising and correcting communication
Employee Wellbeing:
Over half of professionals experience anxiety from communication overload
Workplace stress has increased by 16%
27% of workers feel less confident due to poor communication
The Success Formula: What Effective Communication Delivers
The positive side shows what’s possible:
43% of business leaders have won new business through effective communication — a 10% increase from last year.
Measurable benefits of strong communication:
64% higher customer satisfaction through timely support
64% better customer understanding — clients feel heard
54% more personalized service
53% stronger customer trust
Breaking the Cycle
The problem feeds itself:
As communication volume increases, quality drops.
Employees spend more time fixing bad communication instead of being productive.
The solution lies in structured, personalized communication strategies —
not in more tools, but in better processes.
Time for an Honest Assessment
Three critical questions every leader should ask:
How big is the perception gap between you and your employees?
How much time do your teams lose daily due to inefficient communication?
How much is poor communication costing you — in lost deals and turnover?
The $16K question isn’t theoretical — it’s running through your P&L every single day.
It’s time to address the issue strategically.
The data makes it clear: change is overdue.
Source: “2024 State of Business Communication” Report by Grammarly and The Harris Poll.
👉 Our solution for improving communication in your organization can be found in our Bridge Masterclass.