I can think of a number of reasons: 1. The firm has enough growth to cover it up (downturns can finally bring about layoffs here) 2. Measurement is difficult

I can think of a number of reasons: 1. The firm has enough growth to cover it up (downturns can finally bring about layoffs here) 2. Measurement is difficult or not practiced at certain firms vs others 3. Subsidies or contracts from the government specifically cancel out negative productivity and so make it worth it etc