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Should managers’ pay be cut when AI replaces their staff?

The Australian Financial Review (AFR) •
November 09, 2026 • 04:59 AM
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I would have said that overseeing a robot team would be a cakewalk. But the more I have learnt about running a team of agents, the more I realise I was wrong.

Should managers’ pay be cut when AI replaces their staff?

I was chairing a panel discussion about artificial intelligence the other day when someone in the audience asked about something I had never thought of before.

The question went like this: the way your average manager is graded and paid often depends on how many people they manage. The higher the headcount, the higher the pay and seniority. But what happens when a manager’s human underlings are replaced by AI agents?

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