Brian Chesky warns people managers won't survive AI era as companies eliminate middle management

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Airbnb CEO Brian Chesky says pure people managers and workers who resist change face elimination in the AI era. He argues managers must become hybrid contributors who engage directly with work, not just oversee teams. Gartner predicts that by 2026, 20% of organizations will use AI to eliminate over half of middle-management positions.

Brian Chesky Identifies Who Won't Survive the AI Era

Airbnb CEO Brian Chesky has issued a stark warning about which professionals face the greatest risk as AI reshapes the workplace. Speaking on the Invest Like The Best podcast, Chesky identified two groups who won't make the transition: pure people managers and workers who resist change

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. His comments arrive as tech leaders across the industry accelerate efforts to restructure corporate hierarchy and eliminate traditional middle management roles that focus solely on coordinating teams rather than contributing directly to outcomes.

Source: Entrepreneur

Source: Entrepreneur

The Airbnb founder explained that the biggest risk to professionals isn't AI itself, but refusing to evolve alongside it

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. While other executives like Anthropic CEO Dario Amodei have warned that AI could disrupt half of entry-level white-collar work, and Microsoft's AI chief Mustafa Suleyman estimates most professional work could be replaced within 12 to 18 months, Chesky presented a more measured view. Success in the AI era depends entirely on adapting to AI and maintaining relevance through hands-on involvement.

Pure People Managers Face Job Elimination

Chesky didn't mince words about the future of people managers who focus exclusively on team oversight. "I don't think people managers will have any value in the future," he stated on the podcast

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. He specifically criticized managers who function primarily as "people's therapists," conducting endless meetings and one-on-ones without engaging in the actual work. "People who have lots of recurring one-on-ones are not going to survive," Chesky warned

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. That leadership style simply won't work as AI tools increasingly handle coordination tasks that middle managers traditionally performed.

The shift reflects broader concerns about AI's impact on jobs across corporate America. Gartner predicts that by 2026, 20% of organizations will use AI to eliminate more than half of their middle-management positions

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. Professionals in supervisory roles that don't involve hands-on work are particularly vulnerable. Executives who spend their days translating information between layers of hierarchy or managing workflows face the greatest risk because AI tools can increasingly handle those coordination tasks

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Source: Fortune

Source: Fortune

The Rise of Manager-Individual Contributors

Instead of pure people managers, Chesky argues that every higher-up must become a "hybrid people manager" or manager-individual contributor to succeed

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. This means bosses must adopt a more technical approach and maintain direct connection to the end product, rather than focusing solely on team leadership. They need actual involvement in the "context" of the work to hold onto their jobs. "You don't manage the people, you manage the work," Chesky explained, adding that if you're a lawyer, "you have to actually read the case law, and you have to get involved"

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Chesky cited former Apple chief design officer Jony Ive as a prime example of this hybrid approach, noting that Ive struck the right balance between product design and team leadership

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. While building relationships with staff through routine check-ins and dinners remains valuable, simply supervising people won't cut it anymore. Surviving in the age of AI means becoming indispensable through specialized expertise, technical skills, or product knowledge

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Workers Who Resist Change Face Similar Risks

Beyond people managers, Chesky identified workers who resist change as the second group unlikely to survive the AI era

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. However, he offered an optimistic note: mastering AI tools is "incredibly easy" for professionals who maintain a growth mindset. His perspective echoes a common refrain among tech leaders that AI won't directly take jobs, but someone who leverages the software will. Nvidia leader Jensen Huang popularized this idea, stating at the Milken Institute's Global Conference in 2025: "You're not going to lose your job to an AI, but you're going to lose your job to someone who uses AI"

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Jensen Huang went further, recommending that 100% of workers take advantage of AI tools, warning: "Don't be that person who ignores this technology and as a result, loses your job"

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. Ted Sarandos, co-CEO of Netflix, expressed similar views about the entertainment industry, telling The New York Times in 2024: "A.I. is not going to take your job. The person who uses A.I. well might take your job"

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Tech Leaders Accelerate Management Restructuring

Chesky's comments reflect actions already underway at major tech companies. Coinbase CEO Brian Armstrong announced earlier this week that the company would eliminate "pure managers" as part of layoffs affecting 14% of staff

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. In a memo to staff, Brian Armstrong explicitly cited AI as the catalyst, writing that engineers now "use AI to ship in days what used to take a team weeks." He added: "This is a new way of working, and we need to leverage AI across every facet of our jobs"

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Jack Dorsey, CEO of fintech company Block, wrote in a March blog post that "there is no need for a permanent middle management layer," arguing that AI could handle much of what middle managers traditionally do

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. Block is restructuring staff into three roles: individual contributors who build and operate systems, directly responsible individuals who own problems and outcomes, and player-coaches who both build and develop people. The company laid off 40% of staff in February. "Everyone is empowered, with a role that's much closer to the work and the customer," Dorsey wrote, adding: "AI doesn't augment your company. It reveals what your company actually is"

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What This Means for the Future of Work

For Chesky, AI represents the best thing that ever happened to Airbnb, his $84.4 billion short-term rental company

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. Speaking to CNBC earlier this year, he emphasized that AI isn't just a plus for businesses—it's a necessity for success. "The founder-led companies and the companies that are prepared to change and transform are the companies that are going to benefit from AI, because AI means everyone changes," he explained. "And if you don't change, you're going to be disrupted"

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The message is clear: professionals whose jobs are in danger are those who cling to outdated models of work. As AI tools become more sophisticated and companies face pressure to cut costs while maintaining productivity, the value proposition of traditional middle management diminishes. The future belongs to those who can demonstrate technical competence, maintain direct involvement with deliverables, and continuously adapt to new technologies. Whether you're a manager or an individual contributor, staying relevant means embracing AI rather than viewing it as a threat.

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