No. If that wasn't bad enough, that same system requires managers to rate a certain number of worker as sub-standard each year even if they already fired all their sub-standard workers during that same year.
A rigid system that codifies the assumption that managers are doing a bad job will force them to do a bad job. For example, by having to choose between putting good employees on the chopping block, or always keeping around a pool of bad employees (as a buffer to keep the good ones off the chopping block).