Both, I think. If everybody lays off 6% of staff in strategically low-value projects, there will be a glut of workers willing to take new lower salaries. These

Both, I think. If everybody lays off 6% of staff in strategically low-value projects, there will be a glut of workers willing to take new lower salaries. These jobs are still in high demand, and the company can reset compensation for new hires to a new baseline. Example of this happening here: https://twitter.com/hkarthik/status/1618007542483025923 https://twitter.com/hkarthik/status/1618007542483025923 This saves on labor costs at minimal productivity cost to the company. Great for capital.