Do they set a "quota" for 2%? Or is it that they do it every year, and 2% is about the number that falls out?

I do agree that a "firing quota" is backwards; it should be a standard of performance. But even in a healthy, high-performing company, 1 (or maybe 2) out of 100 people being a drag/net-negative contributor doesn't sound far too off. Ultimately I think it helps the other 98 people to ask those two to leave as soon as it's clear they're not going to become a net positive. If that assessment comes at a specific time of year, so be it; if it's "Okay, we have /n/ heads to chop off, where are they coming from??"... then yeah, not so much.