Is there any truth to "last in, first out" during layoffs?

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I would say firms are more likely to get rid of weak performers prior to laying off new hires.

likefunny

No. New hire = unknown performance, which will vary between 0-100 percentile. You can confidently fire lowest percentile people, assuming that your new hires will be median performers (on average)

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Typically no, and especially at consulting firms typically no

likehelpful

Not with this market. Hard to find good talent.

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Why are people so worried about layoffs in an economy this robust?

funny

Stock market is not the Economy

Not necessarily true. Low performers usually go first, but I’ve also seen people let go due to bench time and recent promotions that haven’t been ranked at the new level. There’s many ways in which they can occur.

More so in tech than consulting

Always my friend but don’t forget that “first out, first comp hiking”.

It depends. For example, recent MBA hires with high comp and minimal relevant experience may have a target on their backs when it’s time for layoffs.

No. It’s based on performance

In industry yes. Big banks get departmental directives like reduce headcount by 10% this quarter and it’s an easy way to make the first cut.

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