Why ‘squeezed middle managers’ are our biggest flight risk

Middle managers are expected to be leaders and executors, facing pressure from above and below, writes Kylie Green.

With the cost of living increasing alongside changing perceptions of what the workplace should look like, Australian employees have found themselves back in an employers’ market. The pandemic ushered in a new era of workplace flexibility and employee expectations, but while employees tighten their budgets and seek better compensation and flexibility, employers are prioritising productivity and output.

As a result, middle managers are caught in the crossfire. They are expected to be both leaders and executors, facing pressure from both above and below. On one hand, they are responsible for employee engagement, performance, and development. On the other, they must meet the business objectives set by the senior leadership team, and drive impactful results.

This precarious position has created a "squeeze" on middle managers, overloading them with responsibilities and leading to significant stress and burnout. A worrying three-quarters of middle managers in Australia report feeling overwhelmed, stressed, or burned out, making them a highly vulnerable flight risk.

The dual role of middle managers

Middle managers sit in a unique position. As the name suggests, they occupy a critical space between leadership and the workforce, shouldering dual responsibility. They are tasked with guiding and motivating their teams, while also adhering to directives from the top. As a result, middle managers are often overloaded with responsibilities and are spread too thin — more than half (53 per cent) don’t have enough time in their week to do everything they need to do.

This dual role is further complicated by resource constraints and structural deficiencies within businesses. Gallup’s 2023 report highlights this challenge, revealing managers are doing more with less — they’re balancing more responsibilities and increasing workloads with tighter budgets. This, coupled with low employee engagement, means middle managers are often left to pick up the slack, further amplifying the squeeze as they strive to meet leadership expectations.

Pressure could cause a break in crucial link

The growing pressures on middle managers are taking a heavy toll on their mental health and wellbeing. A staggering three-quarters feel overwhelmed by their growing responsibilities and many must catch up on work after hours to cope with the workload. This encroaches on their personal life, further exacerbating feelings of stress and burnout, significantly increasing their likelihood of leaving.

Middle managers are the unsung heroes of any organisation and their departure could have far-reaching consequences. This potential talent drain could pose a critical business risk, with middle managers serving as the crucial link between senior leadership and employees. Without this critical layer, productivity declines, morale plummets and efficiency grinds to a halt. Replacing middle managers is also costly and time-consuming — so too is the loss of institutional knowledge they take with them.

The financial, operational and morale disruption caused by middle management turnover far outweighs the investment in supporting and retaining these invaluable assets.

How to mitigate the growing flight risk

In every role, but especially for middle managers, it is essential employees are given the tools they need to succeed. It is unfortunately commonplace for middle managers to be set up for failure, with just over a third receiving managerial training when they were hired or promoted and three-quarters rarely receiving ongoing managerial training. Middle managers are not being set up for success. Rather they are being given bricks for flippers and asked to swim 50 metres.

To address the middle manager flight risk, business leaders need to prioritise engagement and upskilling. If middle managers are attentive and engaged, they will be happier and more fulfilled at work, and in turn, employees will follow suit, having a knock-on effect throughout the business.

Incorporating goals and OKRs into a middle manager’s role can give them something to strive toward, ultimately driving higher engagement. Moreover, business leaders allowing middle managers to work autonomously allows them to ‘own’ their work, making them more engaged with their role.

Middle managers are crucial to the success of any organisation, yet they are often caught between the demands of senior leadership and their teams. By recognising their challenges and providing the necessary support, businesses can not only reduce burnout and turnover, but they can also ensure a more engaged and productive workforce that is no longer a flight risk.

Kylie Green is the managing director (APAC) at Reward Gateway.