The Cycle of Corporate Bloat and Reduction
The article uses the metaphor of “cup stacking” to describe the inevitable expansion and contraction of corporate organizations. During growth phases, companies tend to add excessive layers of management. This proliferation creates a disconnect where managers spend time “managing managers” and holding meetings about meetings, distancing themselves from the actual productive work driving the company’s bottom line.
The Reality of Layoffs
When growth stagnates and companies seek to cut costs to maintain profit margins, they begin the collapse phase. However, this process is rarely clean. Department heads often protect their own positions while reducing their teams. A central finding discussed is that organizations expect productivity to remain constant even with reduced staff, refusing to accept that fewer people results in less output.
Trickle-Down Responsibilities Without Pay
The core issue highlighted is the experience of an employee whose middle manager was laid off. Instead of the workload disappearing, the lower-level staff member was expected to “pick up the slack.” The key takeaways include:
- Unpaid Promotions: Employees are asked to “take ownership” of high-level projects and managerial tasks without any increase in salary.
- Loss of Support: The structure of support collapsed; the employee went from having weekly 1-on-1 coaching sessions to a mere 15-minute standup meeting once a week.
- Workload Overload: The company attempted to slide the manager’s entire stack of responsibilities onto the remaining individual contributor, effectively doubling their workload for the same pay.
Mentoring question
If you were asked to permanently assume your manager’s responsibilities after a layoff without a title change or pay raise, what specific steps would you take to negotiate fair terms or set sustainable boundaries?