I can't hear other players' sound effects in dungeons

In dungeons i can hear everything - mobs, my own effects, other players’ dings when they level up, but their skills are completely muted. It feels like im alone there sound-wise. Even tested the distance filtering - no joy. Whats going on? For a while i was feeling there is some disconnect from the immersion when i returned to WoW and been doing these dungeons. Something was off but i wasnt able to point a finger on it. Now i see (hear) whats the issue. How to fix that?

edit: I can hear other players effects outside of dungeons.