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Cutting out an employee with $100k in salary is just as good as increasing revenues by $100k.

Only if your margins are 100%.

If your margins are 10% then cutting out that employee is just as good as increasing revenues by $1 million.

Food for thought before any new hire.

In other words, Cutting out an employee with $100k in salary is just as good as increasing net revenues by $100k.

Except not really. You hire an employee with the intentions that they'll be worth more to the company than the money the money they cost it. It could be more accurately stated as...

Cutting out a _worthless_ employee with $100k in salary is just as good as blah blah blah.

If the employee is not worth more than they cost the company you should not be hiring them recession or not.

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