I once worked for a well known healthcare consulting firm where right after layoffs the CEO said on a company wide call that the layoffs would help all the rest

I once worked for a well known healthcare consulting firm where right after layoffs the CEO said on a company wide call that the layoffs would help all the rest to reach their target bonuses. I have reached the conclusion that most executives in the US reach their level because of factors outside expertise and capability and for the most part are clueless and tone deaf .