I agree, the company urgently needs to trim the fat. However, what if those who need to be cut somehow survive and instead they end up cutting the skilled and hard working employees that this place needs to get back on track?
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I don't think they would cut the most skilled and hard working folks. They will keep the workhorses and threaten them to work twice as hard to compensate for the laid off employees. The "do-nothing and collect-paycheck" higher ups somehow navigate to survive.
This happens in every company. The personable, sociable people get ahead while the competent are laid off. I thought it would be different in a FAANG, but they're like any other company.