FaceTime muting other person when there is audio on my end

FaceTime mutes other person if there’s any background noise on my end

Whenever I'm on a phone call and speak or there is any background noise the other person's audio is muted. This makes it difficult to hold a conversation - lots of stops and starts, and asking people to repeat themselves.

I have tried changing the mic settings within the call. This does not fix anything.

How can this be fixed?