We investigate the relationship between an employee and their peers to advance understanding of interpersonal mindfulness dynamics in teams. First, we replicate the relationship between employee mindfulness and emotional exhaustion via surface acting. We then examine whether mindfulness amongst team peers moderates this relationship. Specifically, we propose that having team peers high in mindfulness will strengthen the negative relationship between employee mindfulness and surface acting; we further argue that high team peer mindfulness diversity will weaken the moderating effect of peer mindfulness through a dilution effect in teams. Across two independent studies examining individuals in teams over time, we found support for our theoretical model. This is the first examination of the role of peer mindfulness on individual team members, using a unique meso-level approach. We highlight social identification, social learning, and social and emotional contagion as vehicles for meso effects. Keywords: mindfulness, peer mindfulness, peer mindfulness diversity, surface acting, emotional exhaustion