Layoffs are to save money. Many companies will rather layoff 1 person making above market rate than 2 making below market rate. Performance is obviously a factor, but not the only one.
If you have aggressively negotiated your cash compensation very high based on high performance during an economic boom you are at a high risk of getting laid off when the economy turns around. Imagine a graph with performance and compensation as axises, anyone below some slope is a layoff candidate.
If you have aggressively negotiated your cash compensation very high based on high performance during an economic boom you are at a high risk of getting laid off when the economy turns around. Imagine a graph with performance and compensation as axises, anyone below some slope is a layoff candidate.