How Misinterpretation Escalates Conflict at Work

Julie Rich explores how workplace conflict often begins with interpretation rather than intent. When leaders react to assumptions instead of checking what actually happened, small misunderstandings can quickly damage trust and working relationships.

“Trust is built through the small, consistent actions leaders take every day.”


Workplace conflict often escalates not because of hostility, but because two people interpret the same situation very differently.


A senior leader once told me about a meeting that went wrong.

Halfway through the discussion, one of the directors went quiet.
Folded arms, no more questions and certainly no more comments.

After the meeting, the CEO was convinced the director was deliberately undermining the proposal.

The director, meanwhile, was convinced the CEO had ignored their earlier concerns and had stopped contributing because they felt the decision had already been made.

Same meeting. Two completely different interpretations.

Within a week, the relationship had deteriorated.

Not because of what was said - but because of what each person believed it meant.

Why Misinterpretation Often Leads to Workplace Conflict

Most workplace conflict doesn’t begin with hostility.

It begins with interpretation.

Someone reads silence as agreement.
Another reads it as avoidance.

A short email is interpreted as irritation.
The sender simply thought they were being efficient.

A leader raises a concern about a project.
The recipient hears a criticism of their competence.

Once interpretation hardens into assumption, the situation starts to escalate.

Not because anyone intended it to - but because each person is now reacting to a different version of reality.

Three Ways Leaders Can Prevent Conflict from Escalating

When I work with senior leaders, I often encourage them to pause and check three things before responding.

1. Separate observation from interpretation
What actually happened - and what meaning have you attached to it?

2. Test your assumption early
A simple question such as “Can I check what you meant by that?” can prevent days of unnecessary tension.

3. Assume complexity before intent
In most cases, the other person isn’t being difficult - they’re working from a different interpretation of the situation.

Conflict escalates quickly when interpretation goes untested.

It slows down again when leaders become curious about how others are seeing the same event.

Why a Sounding Board Can Help Leaders See Situations More Clearly

Many of the senior leaders I work with use advisory conversations simply to test their read on a situation before acting — particularly when relationships or organisational dynamics are involved.

Sometimes clarity doesn’t require more information.

It simply requires a steadier lens.

Key takeaways

  • Workplace conflict often starts when people attach different meanings to the same event.

  • Separating observation from interpretation can prevent assumptions from hardening.

  • Testing assumptions early can stop unnecessary tension from escalating.

  • Leaders benefit from approaching difficult situations with curiosity rather than assuming negative intent.

Julie Rich, founder of Composed Leadership

About the author

Julie Rich, Founder of Composed Leadership

Julie Rich is an executive and leadership coach, mentor and trusted thinking partner to senior professionals, executives and leadership teams across Australia.

With more than 30 years of senior leadership experience across the property, government and tertiary sectors, Julie understands the complexity, pressure and people challenges that come with leadership. Through Composed Leadership, she helps leaders build confidence, strengthen judgement, improve communication and navigate what's really going on beneath the surface.

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