So once someone is not needed, the person is just sent off? I understand a generous severance is given. But, you couldN'T use that money to try to retrain the worker with another technology/task/job?
What about mentoring? Someone has to start somewhere. So if Netflix ONLY hires someone who's A grade, where do B and C grade people get their chance to learn and improve? Sounds like a very selfish way of hiring (granted every company is selfish).
I do agree with one thing in the article. The whole year-end or half-year end performance review is just a sham. No one in management cares until management decides to lay off someone. They start putting down C or D grade all of sudden when earlier it was mostly As and Bs. And next thing you know, you are let go.