'Pure managers' are especially at risk as tech companies enact layoffs
The tech industry is undergoing significant changes, particularly in its management structures. As companies streamline operations and adapt to new technologies, the role of traditional managers is evolving. This article explores the risks faced by ‘pure managers’—those who do not engage in individual contributor work—and how the rise of AI is reshaping management expectations.
The Shift in Management Roles
In recent months, several tech companies have announced layoffs, with a notable focus on middle management. Companies like Coinbase, Block, and Snap are redefining managerial roles, emphasizing the need for managers to also be active contributors to their teams. This shift is indicative of a broader trend where traditional management roles are becoming increasingly vulnerable.
What Is a ‘Player-Coach’?
The term ‘player-coach’ refers to a managerial role that combines leadership with active participation in team tasks. Unlike traditional managers, who primarily oversee others, player-coaches are expected to contribute directly to projects while also guiding their teams. This dual responsibility is becoming essential in the tech industry, where efficiency and productivity are paramount.
Why Are Middle Managers Vulnerable?
Middle managers are particularly at risk during layoffs for several reasons:
- Increased Expectations: Companies are expecting managers to take on more responsibilities, including individual contributor work. A Gallup survey indicated that managers were responsible for an average of 12.1 workers in 2025, up from 10.9 in 2024.
- Declining Job Listings: Job postings for middle management roles have decreased significantly. In 2025, employers advertised 12.3% fewer middle-manager jobs compared to the previous year, reflecting a shift in hiring practices.
- AI Integration: The rise of AI is transforming how work is done. Managers are now expected to oversee AI agents and utilize technology to enhance productivity, further blurring the lines between management and individual contribution.
The Role of AI in Management
Artificial intelligence is playing a crucial role in reshaping management structures. As companies adopt AI technologies, the expectations for managers are evolving. Richard Lachman, a professor of digital media, notes that tech leaders are early adopters of AI and are confident in its ability to boost productivity. However, this confidence comes with heightened expectations for managers to possess direct knowledge of the tasks being performed by their teams.
Implications of AI for Managers
The integration of AI into the workplace has several implications for managers:
- Hands-On Involvement: Managers must engage more directly in projects to remain relevant. They are expected to lead initiatives and participate in the same work as their team members.
- Knowledge of AI Tools: Managers who lack familiarity with AI tools may find themselves at a disadvantage. Understanding how to leverage AI effectively is becoming a critical skill for successful management.
- Changing Organizational Structures: As AI automates tasks, the traditional model of management—where managers solely supervise—has become outdated. Companies are moving towards flatter organizational structures where collaboration and direct involvement are key.
Adapting to the New Normal
To thrive in this evolving landscape, managers must adapt to the changing expectations of their roles. Here are some strategies for success:
- Embrace Continuous Learning: Managers should invest time in learning about AI and other emerging technologies to enhance their skill sets.
- Foster Collaboration: Building a collaborative team environment where all members contribute ideas and efforts can lead to greater innovation and productivity.
- Lead by Example: By actively participating in projects, managers can inspire their teams and demonstrate the value of hands-on involvement.
The Future of Management in Tech
The future of management in the tech industry is likely to be characterized by a blend of leadership and active contribution. As companies continue to integrate AI and streamline operations, the role of managers will evolve further. The expectation is clear: to succeed, managers must be adaptable, knowledgeable, and willing to engage directly with their teams.
Conclusion
As tech companies navigate the complexities of layoffs and organizational restructuring, the role of ‘pure managers’ is increasingly at risk. The rise of AI and the demand for hands-on involvement are reshaping management expectations. To remain relevant, managers must embrace new technologies, foster collaboration, and adapt to the changing landscape of their roles.
Note: The insights presented in this article are based on industry trends and expert opinions as of October 2023. The evolving nature of technology and management practices may lead to further changes in the future.
