New report shows a concerning gap as managers face 'fundamentally changed' roles at work
As more organisations become headlines for reducing headcount, a new report has found that layoffs and restructuring are increasingly becoming topics at work that people managers may not be fully equipped to handle.
New findings from Careerminds showed that most HR professionals (83%) and people managers (76%) are seeing increasing volumes of conversations on layoffs and redundancies in the past 12 months.
They are among the "more sensitive and emotionally charged" conversations that have been increasing in volume over the past year, alongside increased workload, career development discussions, and employee anxiety about AI.
"The research shows the volume of these conversations has increased considerably over the past year, reflecting a broader period of workforce uncertainty," the report read.
Managers are the "first point of contact" for employees seeking reassurance, guidance, and support for this uncertainty, it added.
Training disconnect for hard conversations
But while 97% of HR professionals surveyed said the training provided to managers in handling these "emotionally charged" conversations is adequate, just 41% of people managers agree.
"This is one of the most striking disconnects in the research and suggests organisations may be underestimating the support managers need to navigate increasingly complex workplace discussions," the report read.
Jen Allen, senior talent solutions partner at Careerminds, pointed out that the skills to navigate complex and difficult conversations in the workplace need to be continuously practised, adjusted, and grown.
But with these kinds of conversations happening only a "handful of times" a year, Allen underscored the need to continuously train managers in the skill.
"Organisations need to think about training and support not as a one-off or situational resource (like annual performance conversation time, when there's often training focused on having difficult conversations), but as an ongoing need that requires practice," Allen said.
"It's also important to think about whether your organisation's culture actively supports or undermines psychological safety; if risk and failure are punished rather than learned from, the foundation of trust isn't strong enough to support difficult conversations."
Ready for 'fundamentally changed' roles
The disconnect in managers' skills in handling difficult conversations at work is part of a broader problem of leadership overestimating managers' skills.
The report found that only 42% of senior and middle HR managers feel ready to lead through future challenges, significantly lower than those in the C-suite (66%).
It also noted that executives are more likely to believe managers are receiving the preparation they need amid an evolving workplace, such as training on organisational change and restructuring, as well as training on career development for evolving roles.
Mark Saddic, senior partner at Careerminds, stressed that today's leaders are handling more than just managing performance in the workplace. They are also now helping employees navigate AI, organisational transformation, shifting career paths, and increasing uncertainty.
"The role of the manager has fundamentally changed," Saddic said. "Organisations cannot assume confidence equals capability. Managers need practical support, ongoing development and the tools to lead through continuous change."
Organisational success will not be based on how fast workplaces can adopt new technologies, according to Saddic.
"They'll invest in preparing managers to lead people through change. Leadership readiness has become a competitive advantage," he added.
Allen also underscored the importance of having "more intentional support" to managers.
"Leadership today requires coaching through uncertainty, facilitating difficult conversations and helping employees adapt to constant change," she said.
"Those capabilities aren't built through a single training session — they require continuous development, practice, and an organisational culture that empowers managers to lead confidently."
