AI and tariffs cut managers

Updated: 2026.01.14 15D ago 2 sources
US firms are flattening hierarchies after pandemic over‑promotion, tariff uncertainty, and AI tools made small‑span supervision less defensible. Google eliminated 35% of managers with fewer than three reports; references to trimming layers doubled on earnings calls versus 2022, and listed firms have cut middle management about 3% since late 2022. — This signals a structural shift in white‑collar work and career ladders as industrial policy and automation pressure management headcounts, not just frontline roles.

Sources

Global Tech-Sector Layoffs Surpass 244,000 In 2025
BeauHD 2026.01.14 72% relevant
The article reports widespread tech layoffs including large headcount reductions at major U.S. firms (Intel, Amazon, Microsoft) and cites automation as a frequent driver; this maps to the existing idea that AI adoption and corporate reorganization are actively trimming managers and middle layers.
Bonfire of the Middle Managers
msmash 2025.10.08 100% relevant
Google’s August move (−35% of small‑team managers), 98 layer‑reduction mentions on S&P Global earnings calls in 2025, and ~3% middle‑management cuts since Nov 2022.
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