Employee support services will alleviate significant strain in the workplace, Canada Life has said.
According to the provider's research, souring workplace relationships will damage the emotional health, productivity and motivation of the UK's 29m employees.
Over a quarter of employees reported that a senior colleague had abused their position of power and 14% said that they had deliberately been set up to fail at a task by a colleague.
The survey also showed 26% had a worsened working life from falling out with a colleague and 25% felt they had been poorly treated because they did not fit in.
And one in ten are taking time off as sick to avoid bullying in the workplace.
Paul Avis, sales and marketing director at Canada Life, said: "Employers must ensure that they encourage employees to work together - not only to ensure their happiness and welfare, but also to facilitate a productive working environment."
"By offering employees access to support services and advice they have the opportunity to discuss any problems they are having with colleagues, or problems with their own work or personal life that might be having an effect upon their working relationships."
Avis added more employees were under "considerably" more pressure than they were several years ago.