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There's also the matter of having to deal with a sexual harassment suit for an affair that began as a consensual relationship but spirals down to a question of non-consent.
Beyond the issue of two consenting single adults, there is also the issue of extramarital affairs in the workplace.
According to the Career Builder survey, some industries are more prone to inter-office dating than others.
It's not good for the company, the manager, the employee, or the employee's coworkers. And this holds for employees who date managers in another department.
The relationship, or frequently former relationship, limits how you as a manager can promote, or utilize the talents of, a subordinate.
Savvy employees understand that some policies in their workplace are unwritten, but all employees are entitled to understand workplace norms.
Beyond the employee, a fraternization policy is even more significant for the employer.