He never said it was a mistake. In acknowledging that hires were made on the basis of temporarily cheap money and a temporary opportunity, the CEO seems to be acknowledging that they never intended to maintain that level of staffing.

This is a common part of the boom-bust cycle of many corporate firms. They use cheap money and labor to reposition / grow / etc., then when the work is done and wages start increasing, they cut back on staffing and reap the profits of their new position with a skeleton crew.