As middle management roles get more streamlined, seasoned employees are seeing their positions get restructured to adapt to a new wave of younger talent, amid the ongoing technology disruption.
Young recruits often bring fresh ideas and are able to commit themselves more to the company, creating pressure on older employees who have been with the organisation for years, say experts.
“People who've been in companies for about 10 to 15 years and are currently in mid to senior level positions, they are being threatened or feeling uncomfortable with new creative ideas that young employees bring,” says Jaanvi Bhatia who works in the UAE’s HR consulting industry.
“This creates a lot of power struggles in companies and older employees are influenced by the younger cohort.”
Start-ups in the UAE, especially in the technology space, are hiring more young talent, rather than middle managers or employees in their mid-30s and 40s, because these companies notice the value that young employees bring and are more focused on outcomes, rather than key performance indicators, she says.
Since start-ups are new to the market, they want employees who are passionate and willing to give it their all. Young employees are also able to commit more because they don't understand boundaries yet in their career, according to Ms Bhatia.
Companies such as Talabat, Careem and Deliveroo also tend to hire employees in the younger age group, she adds.
The challenge is global. Middle managers made up 32 per cent of layoffs in North America in 2023, compared with 20 per cent in 2019, according to analysis by workforce analytics provider Live Data Technologies. US public companies have reduced their middle management ranks by about 6 per cent since the height of pandemic hiring, the data showed.
A Deloitte study last year emphasised the growing trend towards streamlined structures, driven by the need for faster decision-making and cost efficiency. These changes are forcing businesses to reassess the value of roles traditionally centred on supervision and process oversight.
Nicki Wilson, owner and managing director of Dubai-based consultancy Genie Recruitment, says there is an ongoing shift towards more streamlined operations with fewer layers of management.
Over the past 18 months, many “head of” roles – particularly in marketing and sales – have been affected by redundancies, leaving experienced professionals struggling to secure new positions, she says.
However, this trend is not necessarily about younger talent stepping into these roles but rather companies restructuring their hierarchies, reducing senior positions and focusing on leaner teams with a greater emphasis on technology and efficiency, say the experts.
Nevin Lewis, chief executive and principal consultant of Black & Grey HR, agrees that some middle managers will lose their jobs, which will often be attributed to leadership decisions, restructuring or business optimisation.
In the UAE, industries like banking, retail, hospitality and tech are undergoing restructuring by focusing on streamlining operations, reducing redundancies and prioritising digital capabilities, he says.
However, it is not always an “out with the old, in with the new” strategy that works.
“Middle management need to be more emotionally aware and not feel threatened by younger staff,” Ms Bhatia says. “Middle managers must trust themselves more and use the newness of young employees for the betterment of the company and their own outcomes, when it comes to work.”
She highlights how young employees want their performance to be measured by outcomes, not by hours spent in office. They are ready to take on more responsibility but need to be given trust and freedom of choice in the way they deliver things.
There also needs to be mutual understanding between managers and young employees on the use of communication channels and how frequent that communication needs to be, she adds.
Dhruv Tanna, associate vice president at DIFC-based investment and wealth management firm PhillipCapital, believes the threat to middle management roles from younger talent remains minimal, provided individuals constantly keep their professional skills updated.
Continuous learning and adaptation are crucial. Recent surveys, such as Deloitte's Global 2023 Gen Z and Millennial Survey, highlight that Gen Z generally prefer roles offering immediate impact and clear career progression, often steering away from traditional middle-office or lower-tier positions, he explains.
“Their inclination towards frequent job changes and aversion to roles perceived as static further reduces direct competition for stable, strategic middle management roles,” Mr Tanna says.
“While staying competitive requires ongoing personal and professional development, proactive management professionals have minimal cause for concern.”
Similarly, Gaurav Kumar, who works with a Dubai-based FinTech company, believes middle management roles are evolving and with new skill sets, they become even more relevant and valuable to organisations.
The key to the evolution of middle management lies in their ability to integrate traditional management expertise with emerging technology-driven capabilities, Mr Kumar suggests.
“If middle managers rely only on their past experience and resist learning new skills, they risk being overtaken by younger, more tech-savvy talent, so it’s crucial to stay flexible and embrace change to remain competitive in the evolving workplace,” he says.
Experienced professionals have a “distinct edge over younger employees in areas such as hands-on experience, emotional quotient, organisational knowledge and decision-making in complex situations”, he adds.
Ms Wilson agrees that companies are looking for professionals who can be more adaptable in an evolving market.
“At the same time, younger talent entering the workforce may find it challenging to secure jobs that meet their expectations as artificial intelligence continues to take over many entry-level tasks. This shift is reshaping career trajectories, with fewer traditional entry points and a greater need for professionals at all levels to continuously upskill,” she says.
“For senior professionals, staying ahead of the game means investing in learning AI, technology-driven sales strategies, networking with peers and constant upskilling.”
Mr Lewis says the traditional role of a supervisor managing day-to-day operations is fading, while demand for strategic, tech-savvy leaders is growing. The ones who thrive will be “enablers of innovation, rather than gatekeepers of old processes”.
Companies still need strong leaders, and the challenge is no longer job security but skill relevance, he adds.
According to Waleed Anwar, managing director of Dubai-based recruitment company Upfront HR: “It’s all about staying relevant, not resisting change. The ones who evolve don’t get replaced.”
Key skills to learn for middle managers
- Artificial intelligence
- Data literacy
- Data analysis, visualisation and presentation
- Agility
- Emotional intelligence
- Technology-driven sales strategies
- Change management
- Lifelong learning mindset
- Flexibility and adaptability
