Red Hat layoffs trigger ‘black anger,’ call for employees to unionize

Some light reading:

https://web.archive.org/web/20220720120426/https://www.bloom...

https://web.archive.org/web/20220720120426/https://www.bloom...

A newer game development company, Motion Twin (France), is doing something similar:

https://en.wikipedia.org/wiki/Motion_Twin

You can still have a management structure, but many of these types of enterprises rotate their management, by vote and with term limits, from the ranks of the employees. It makes everyone more aligned with the larger goals of the organization and helps mitigate long term favoritism.

You inevitably have people with notions that everyone should work as hard as they can and only be paid based on need. Claims that its an extended family. Everyone belongs to each other, yada yada yada.

It gets real twisted real quick, and the only people to benefit are those that lie at everyone elses expense. The ones that are exploited the most are the ones that produce the most, so it drives any kind of efficiencies out of the business. There's no incentive to do anything productive, and you get the same inefficiencies of bureaucracy and corruption with negative production value. Those that are better get socially punished for being better and making everyone else look bad.

You also can't have that dynamic when you are using other people's money (investors) unless you want to lose everything.