"Canada's Middle Management Jobs at Risk as Culling Trend Spreads Globally According to Expert Howard Levitt"

As we enter a new year, a trend predicted by the Wall Street Journal is becoming increasingly clear: the massive downsizing of middle management. This phenomenon is not limited to the United States; Canada is also bracing itself for the impact of this significant change.

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The Factors Contributing to the Cull

Several factors have combined to make middle management positions obsolete:

Drive for Efficiency: Companies are seeking ways to increase productivity and reduce costs. Middle management, often seen as a layer between front-line workers and executives, is becoming redundant.
Higher Profits: The emphasis on profit maximization has led companies to streamline their operations, eliminating unnecessary layers of management.
Increased International Competition: The global market has become increasingly competitive, forcing companies to adapt and innovate. Middle management, seen as a barrier to innovation, is being cut back.
Impact of Artificial Intelligence: AI is transforming the way businesses operate, automating tasks and making human middle managers less essential.

The Numbers Don’t Lie

According to research firm Gartner, U.S. managers now oversee three times the number of employees they did in 2017. LinkedIn’s Workforce Confidence survey found that close to one-third of employees claim to have bosses who are too stressed to support them.

Why Canada is Facing a Greater Challenge

While the trend is similar in both countries, Canadian employers face a more daunting challenge:

Declining Productivity: Under the Liberal government, productivity has declined significantly, widening the gap with the U.S.
Long-Tenured Middle Management: Many middle managers in Canada have long tenures, making it difficult for companies to navigate layoffs and restructuring.

The Solution: Advance Notice

To mitigate the impact of downsizing, employers can consider providing advance notice to affected employees. This allows them to find new jobs, reducing liability for the employer.

Length of Notice: The length of notice for a demotion is identical to that of a dismissal.
Purpose: Advance notice provides employees with a reasonable opportunity to find alternative employment, reducing the employer’s liability.

The Unanticipated Corporate Crisis

An abundance of management layoffs will result in far fewer comparable positions for laid-off employees to secure. This will lead to greater severance pay, further exacerbating the plight of Canadian employers and setting up an unanticipated corporate crisis for the next government to contend with.

Conclusion

The middle management cull is a looming threat to Canadian employers. As companies seek to adapt to changing market conditions, they must be prepared to navigate the challenges of downsizing and restructuring. By providing advance notice and considering the impact on employees, companies can minimize the risks associated with this trend.

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