What don't you understand about it? The part where people need money to buy food and shelter or the part where not everyone is a tech worker that can have multiple, better job offers in a week or so.
Some parts of the country have very few jobs for anyone in any field, and the jobs that exist pay so shitty that its very difficult to move to a place with better prospect (which in most cases will have the added drawback of removing you from any kind of support system you might have had with family+friends).
You can adopt the modern, warped version of libertarian philosophy that says "its not my problem", but most people don't like living in a world where people lose their houses so a rich guy can make a few million dollars extra.
There are times where its necessary to lay people off. Hell, this might have been one of them. But even if it was, the guy didn't have to be such a douchebag about it.