
Why Companies Fire People, Not Fancy Snacks - ciscoriordan
http://www.alleyinsider.com/2008/11/why-companies-fire-people-not-fancy-snacks
======
chris11
I think cutting benefits would be more costly in terms of morale. The article
mentioned that sun laid off 5000 people and suggested that they cut out the
vitamin water instead. Well, if you assume that sun has around thirty thousand
employees, and each drunk a bottle a week at a cost of a dollar a bottle, that
works out 1.5 million a year. Assuming each employee costs sun an average of
200k, cutting snacks would have only saved 7 or 8 employees. Even if I was off
by a factor of ten, sun would have still layed off 98% of the 5000. So cutting
snack and firing 98% of 5000 would be viewed as more drastic by the company
than just cutting 5000 people.

------
jraines
Snacks always do their job.

------
justindz
If you had 100 people and cutting snacks hurt their productivity, you could
end up with a more deleterious effect than you might get cutting 3 or
whatever. Pragmatism.

~~~
netcan
Worried but full better then calm but hungry.

