Confirming what many had been sensing for some time, Dallas Federal Reserve Bank President, Richard Fisher said recently that increasing numbers of workers are quitting their jobs voluntarily, and concomitantly, employers are finding that it’s taking longer to fill open positions. Those are two fairly strong indicators that the job market is heating up.

But they aren’t the only indicators. For several months, we’ve been watching managers going into a defensive crouch and lowering their work performance standards in an ill-advised effort to hang onto people rather than coach, discipline or terminate, and then face the prospect of replacing them. In many cases they’re turning a blind eye to problem performers, the existence of whom is aggravating to fellow workers and customers alike.

Why? Three reasons:

1. They’re not yet well-assured that they can get quick internal approval to replace.
2. They know that hiring a replacement off the street will take time (the talent pool isn’t deep yet for many positions), and it will likely cost them more money.
3. There’s more than a little guilt involved, as the involved managers know in many cases that the individual is struggling because they themselves have not had (‘er taken) the time to properly train and coach their staff members.

Nowhere is this more evident than in the case of level 1 supervisors and managers. And, sadly, nowhere do we pay a higher price for this condition. Having an inept or uncommitted level 1 manager wreaks havoc in an organization. Think about it. These are the folks who represent the “last mile” in the management communication and strategy execution chain. They have more daily touchpoints with frontline workers than anyone else, and thus have the capacity to disenfranchise greater numbers of solid performers – the very last people you want to lose.

Three suggestions:

1. Take a hard look across your organization at your level 1 and 2 managers. Which of them seem to be struggling or experiencing abnormally high rates of regrettable turnover? Find out why, and get them some help if needed. If it’s too late or they are misplaced in their role, take action now, while you still have options.
2. Resolve to make leadership ability a “must have” for anyone placed into a management position. Specifically, before putting someone into a leadership role at any level, there should be credible reason to believe that they have the courage to make and communicate tough decisions, the humility to realize that they put their pants on just like everyone else, better than average judgment and interpersonal skills, and that they are comfortable in their own skin. Absent any one of these factors, it doesn’t matter how smart or talented they are. Keep looking.
3. And speaking of looking, you could do a lot worse than to spend time daily working on your talent pipeline. Make daily efforts to give internal candidates, your leaders of tomorrow, some coaching or encouragement. And at the same time, make sure that your external pipeline is well stocked.