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Your description resonates quite well with my own experience. I've seen this over and over again in different (mostly large) enterprises. Peter principle at its best where someone with solid engineering skills gets promoted to become mediocre manager to the detriment of the rest of the team.

I think for someone considering engineering manager track your point #9 is really something to keep in mind. Many managers I've met are well aware of the fact that they're simply unemployable outside of their current company, which essentially becomes a "prison" for them.

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