The Impact on Morale and Purpose
Your question, "why work hard for this company?" cuts to the heart of employee motivation in this environment.
Betrayal of Purpose: The memo speaks of pride, mission, and strengthening the company. Yet, the layoffs make the reality feel transactional: people are costs to be cut, not valued assets. This strips away any feeling of shared purpose.
The "More Layoffs Coming" Fear: The atmosphere after a major layoff often includes a period of "survivor's guilt" and intense anxiety about the next round of cuts. This fear is a massive morale drain and can lead to lower productivity, as employees may prioritize securing their next role over the company's work.