First of all if a company is profitable and has a number of employees and has no idea how to use them that’s a failure of leadership. The board should look for an executive team that knows how to use what it has.

Secondarily layoffs don’t happen the way you say: they are across the board and when you are talking of 10% of a company there is no real way of targeting the inefficient people. More than anything is fiscal engineering: you need x amount, you fire people and then you rehire 75% offering less equity and at lower levels imposing more work on the remaining employees