I am not advocating for this but you could turn that argument easily around: Not laying off people makes them feel very secure which does not incentivice them t

I am not advocating for this but you could turn that argument easily around: Not laying off people makes them feel very secure which does not incentivice them to take risks and innovate either. At least when they are no inherently driven to push their careers forward. Edit: To expand on my comment: At my company the problem with missing innovation is not related to layoffs (which do not happen, thankfully). But rather that hiring is very slow as management thinks teams need to "earn" those additional resources by innovating instead of the other way around: hiring people that are willing to innovate.