This is so much better - instead of people chasing latest management gossip, constantly looking over their shoulder and looking for other jobs, we don't hire unless it's necessary (ie regulatory requirements).

Compared to having 2-3 random firing rounds per year when it was semi-random (even the best of the team were let go because they didn't have currently running long term project), morale is much higher (random meant you come in the morning like every other day, suddenly during day there is interview with your line manager and HR, then you have 5 mins to take your stuff from desk and are escorted by security out, and that's it)