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I literally saw this happen last month. My project marketing manager was spending a good couple of weeks creating training and SOP documents for a new PMM hire that was joining the team. Suddenly, she was sacked with no warning in the middle of the day and week, and the new PMM was onboarded (using the same SOP docs the previous PMM created) the following Monday.
Subject Expert
Sadly, this is happening every day in corporate America. They'll go to contract workers first, then offshore to Canada or Mexico, then Eastern Europe or SE Asia. There are many companies that do this as business services like Genpact, EY, TCS, Infosys, Capgemini, etc.
Mentor
It definitely happens! They want to stop paying the higher wage of the person who's been there for a while and bring on someone who is willing to work for less :(