WITH EmpCTE(empid, empname, mgrid, lvl, sortcol)
AS
(
SELECT empid, empname, mgrid, 0,
CAST(empid AS VARBINARY(900))
FROM Employees
WHERE empid = 1
UNION ALL
SELECT E.empid, E.empname, E.mgrid, M.lvl+1,
CAST(sortcol + CAST(E.empid AS BINARY(4)) AS VARBINARY(900))
FROM Employees AS E
JOIN EmpCTE AS M
ON E.mgrid = M.empid
)
SELECT
REPLICATE(' | ', lvl)
+ '(' + (CAST(empid AS VARCHAR(10))) + ') '
+ empname AS empname
FROM EmpCTE
ORDER BY sortcol

(1) Nancy
| (2) Andrew
| | (5) Steven
| | (6) Michael
| (3) Janet
| | (7) Robert
| | | (11) David
| | | | (14) James
| | | (12) Ron
| | | (13) Dan
| | (8) Laura
| | (9) Ann
| (4) Margaret
| | (10) Ina