In February 2023, Mark Zuckerberg unwittingly started a trend when he declared 2023 “The Year of Efficiency” during a Meta earnings call. Unfortunately the trend wasn’t as innocuous as the Grimace Shake. As part of the efficiencies, Zuckerberg removed “layers of management” in the belief it would “ultimately … help us attract and retain the best people.”
Salesforce, Amazon, Google, FedEx, LinkedIn and others followed suit in the months that followed.
It wasn’t the first time middle management was targeted during down times. But moves like these ignore a wealth of research showing the negative effects removing middle management has in the long-term.
As we wrap up our look back at some of the major trends of 2023, let’s take a last look at the middle management squeeze with the hopes we can put it firmly in the rear-view mirror.
What a Difference a Good Manager Makes
Zuckerberg made his announcement a week after two separate studies came out related to middle management. The first came out from the Workforce Institute at workforce management firm UKG, which found “managers impact employees’ mental health more than doctors or therapists."
The second came in the form of Gallup’s annual State of the Global Workplace, which marked the first decline in employee engagement in a decade. In its recommendations for how to turn the trend around, the firm said 70% of team engagement could be attributed to the manager, concluding, “The role of the manager has never been more important.”
A late December Boston Consulting Group report confirmed the outsized impact middle managers have on a company’s long-term success. Although over a quarter of employees said they’d move jobs in the next year, those with good managers were less likely to leave — a 40 point difference from those with bad managers.
“Managers are sense makers, the coaches who bring individual and organizational goals into line for success,” McKinsey analyst Bryan Hancock told Reworked in May. Gallup’s Jim Harter agreed: “If you want to achieve your goals, you need managers who can create a culture that supports your vision and strategy,” he said.
The role becomes only more important at a time when AI plays an increasing part in our workplaces, argued columnist Lance Haun. Middle managers will act as intermediaries once again, only in this case it will be between humans and technology. “That’s why great managers in the age of AI will be the glue that keeps everything working together, helping their human and non-human coworkers find harmony while ensuring that we don’t lose our humanity as we transform the future of work into something that’s good for people and organizations,” Haun wrote.
Stuck Between a Rock and a Hard Place
Middle managers’ time under the microscope came at an already high-pressure period. Leaders and employees continued to navigate their shifting dynamics and management filled the tough part of acting as intermediary between the two, in many cases while handling an increased workload.
All of the pressure took its toll, as contributor Malvika Jethmalani noted. “In short, we are experiencing one of the largest re-negotiations of the employer-employee social contract in modern history, and managers are caught in the middle.” With 79% of middle managers saying they’re at risk of burnout, she offered a step by step guide to supporting managers, which starts before they even receive the promotion.
Providing support was also on the mind of contributor Mary Slaughter, who suggested ways businesses can better equip their managers to thrive during challenging times, including recognizing their limits: “In efforts to reduce costs and increase efficiency, corporate functions often eliminate support roles that are genuinely helpful to employees. By default, employees turn to their managers for answers. The net result is frontline managers take on more work in their already overburdened day, and they are unable to offer the same level of support as dedicated experts.”
The pandemic surfaced long-existing problems in many areas of work, and middle management was no exception. As columnist Stowe Boyd noted: “The rise of remote and hybrid work is forcing a reconsideration of the middle manager role in light of these new stresses. Middle managers will be the fall guy if the major hurdles in hybrid work are not cleared.”
It seems like those managers who survived layoffs are nearing a breaking point, which would have ripple effects throughout an already stressed workforce.
A Rethink of Middle Management Is in Order
At a time when New Year’s resolutions remain fresh, we should add fixing middle management to the list. Because as Glassdoor’s Workplace Trends of 2024 concluded, “While Work-Life Balance ratings on Glassdoor were stable for more senior and more junior employees, there has been a sharp drop in ratings among middle managers at large companies. There is little on the horizon to suggest that this trend will abate or reverse in 2024. There is risk here for companies.”
- One step is to allow management to be a full-time (or at minimum, majority of the time) role. As Get Reworked guest Joe Makston shared: “I don't feel like being an individual contributor and a manager is really effective. Because you have your own goals that you have to manage to. plus, you're trying to lead a team of people.”
- A second is being more deliberate about who and how people become managers. Management is still far too often seen as an inevitable step on a career ladder after excelling as an individual contributor. But the phenomenon of “accidental managers” that cycle creates can do as much harm as removing middle managers altogether.
- And a final — and potentially obvious — step is to provide learning opportunities for current and future managers. Communications skills is a great place to start, with 69% of managers saying they’re often uncomfortable communicating with employees.
A better workplace is possible. Here's to a great 2024!