It actually produces the exact opposite, my observation from experience is: Some people will now work the system and want to be made redundant, by doing the mi

It actually produces the exact opposite, my observation from experience is: Some people will now work the system and want to be made redundant, by doing the minimum possible. Good people will leave for other opportunities. This takes months/years to fix/heal. The fixing process is reset every time you do a new round of lay offs.