Layoffs and dividends are relatively independent decisions. The real story is the dependence of modern stock prices on financial engineering. Even Apple is pa

Layoffs and dividends are relatively independent decisions. The real story is the dependence of modern stock prices on financial engineering. Even Apple is paying dividends and doing stock buy-backs (and even Warren Buffet is buying back stock). Now that this is settled expectation even for tech, the markets severely punish non-compliant companies. In this case, it's likely the nominal dividend avoided a stock drop that would have increased the cost of capital for retooling far more than the dividend. As for layoff's, large companies are rarely tightly managed; it's just too hard. Company leaders take the opportunity of perceived downturns to try to filter out non-performers, but they end up ousting any disfavored employee, and increasing perception-building activities.