Stop looking for the last destination. Start building the next one. Middle managers accounted for nearly a third of all layoffs in 2023, up from around 20% five years earlier. In 2024, Gartner predicted that through 2026, 20% of organizations would be using AI to flatten their structures, eliminating more than half of their middle management positions. And that prediction is being borne out by the data. The Wall Street Journal reported last year that manager head count fell by 6.1% between May 2022 and May 2025, while in Korn Ferry’s Workforce 2025 survey, “41% of employees told us that their organization has slashed management layers.”
Your old role isn’t coming back
Why This Matters
The decline in middle management roles driven by AI adoption signifies a major shift in organizational structures, impacting both the tech industry and the workforce. This trend highlights the importance of adapting to new operational models and technological advancements to stay competitive and relevant. For consumers, it signals a future where AI-driven efficiencies could lead to more streamlined services and decision-making processes.
Key Takeaways
- AI is rapidly transforming organizational hierarchies, reducing middle management roles.
- Nearly 20% of organizations plan to use AI to flatten structures by 2026.
- Workforce shifts include significant management layoffs, emphasizing the need for adaptation.
Get alerts for these topics