And not doing so could affect their IR (investor relations) negatively, which is a higher concern than PR to most companies
"Our products are better than ever" "Our revenue per employee is better than ever"
Why does cutting costs have to be the only way to please investors?
They can be told that products are great, or employees are producing a lot, but the only thing that matters to investors is the money. And so, when you're underperforming compared to others in your market, you have to do what appeases the shareholders, and that involves culling employees.