Why would a company prioritizes firing older, more experienced employees.

in favor of hiring younger, cheaper employees; Let’s see what could be the  consequences :

1. First we would see the loss of knowledge and experience. Those employees often possess valuable knowledge and experience that they have accumulated over their years of activity. When they are fired, the company loses their expertise, industry insights, and institutional memory. This can hinder problem-solving, decision-making, and overall organizational effectiveness.

2. It can also decreased team morale and trust: The decision to terminate older employees solely based on cost considerations can create a sense of insecurity among the remaining workforce. Employees may question their own job security and loyalty of the company. This can lead to decreased morale, lower job satisfaction, and diminished trust in the organization.

3. The perception that a company is prioritizing cost savings over the well-being of its employees can damage its reputation in the industry and among potential future hires. This can create negative impact.

4. A company that values cost-cutting over employee development and loyalty can foster a culture of fear and insecurity. This can erode trust, collaboration, and teamwork among employees, leading to a toxic work environment that ultimately hampers productivity and innovation.