TECH NEWS

Google Layoffs 2025 Explained: Why Cutting 35% of Middle Managers Could Backfire

Why is Google laying off managers? Did AI replace Google managers? How many managers did Google fire? Is Google replacing humans with robots? Can AI be my boss? Do we even need managers anymore? What happens if your boss has 20 employees? Will AI get me fired?

YEET MAGAZINE

18 Sep 2025 • 5 min read

By Paola Bapelle – Senior Writer at YEET Magazine | www.yeetmagazine.com

“It’s a radical move,” said a former Google executive, speaking anonymously to The New York Times. “Middle managers may be unpopular, but cutting them this deep will have ripple effects across the organization.”According to Bloomberg, Google’s restructuring will impact 35% of its middle management layer, leaving many teams with over 12 direct reports per manager—a ratio experts warn is unsustainable. Harvard Business Review has previously reported that “spans of control beyond 12 direct reports reduce effectiveness, delay decisions, and increase burnout.”

Tech analysts note that while AI-driven automation tools now handle scheduling, reporting, and performance tracking, leadership still requires human judgment, mentorship, and creativity—things software cannot replace.

Google has announced plans to lay off 35% of its middle managers as part of a restructuring effort to reduce costs and increase efficiency. With AI tools now automating scheduling, reporting, and even performance reviews, the company is betting big on leaner management structures. But will this cost-saving move help—or hurt—in the long run?

Why Google is Cutting Middle Management

The layoffs are framed as a way to “streamline operations.” In corporate terms, that means fewer managers supervising more employees. Some insiders report that over a dozen employees will now report directly to a single manager, raising concerns about burnout and communication breakdowns.

AI and automation tools are also playing a role. With machine learning handling data tracking and workforce metrics, leadership may see middle management as redundant. But replacing human managers with software raises questions about morale, creativity, and mentorship.

The Case for Short-Term Profit Gains

From a financial perspective, the benefits are clear:

Immediate cost savings on salaries and benefits.
Shareholder approval—Wall Street tends to reward layoffs with temporary stock price bumps.
Efficiency push—reducing bureaucratic layers may speed up some decision-making.

This mirrors broader tech industry trends, where companies cut staff during uncertain economic times to maintain margins.

The Case Against: Long-Term Losses Ahead

Experts warn that management cuts often backfire. Middle managers may have a reputation for bureaucracy, but they’re also the critical link between strategy and execution. Cutting too deep risks:

Employee disengagement. Workers without guidance or support may feel lost.
Slower innovation. Managers often connect cross-functional teams that fuel creative problem-solving.
High turnover. When managers are spread too thin, employees are more likely to burn out or quit.
Cultural decline. A lack of mentorship erodes company identity and values.

History offers cautionary tales. Companies that slashed management ranks for quick profits often struggled years later to rebuild healthy, balanced teams.

Can AI Really Replace Managers?

Some tasks—like data analysis, scheduling, and progress tracking—are perfectly suited for AI. However, leadership is not just logistics. Good managers provide:

Coaching and career development
Conflict resolution
Emotional support and motivation
Decision-making in complex, ambiguous situations

These are areas where human judgment is still irreplaceable. Relying too heavily on AI risks treating employees as metrics instead of people.

What This Means for the Future of Work

The Google layoffs may signal a broader corporate trend: leaner organizations powered by AI, with fewer managers and more automation. Other companies may follow, prioritizing short-term profitability over sustainable team dynamics.

But this strategy comes with consequences. Research consistently shows that when more than 12 people report to a single manager, performance and morale decline sharply. The “span of control” is not just a buzzword—it’s a proven limit.

If companies push beyond it, the long-term costs may outweigh the savings.

Final Take

Google’s decision to cut 35% of its middle managers is bold, but risky. While investors may cheer the cost savings today, the true test will be employee engagement, innovation, and cultural resilience in the years ahead.

As AI continues to reshape work, the question isn’t whether management is necessary—it’s what kind of management companies are willing to invest in.

Middle managers may be changing, but they aren’t going extinct.