Regarding your point number 2, I've been having this debate over on Twitter (ha) about how much those who remain are saddled with extra work. I've been through a few layoffs in my career, though none as large as this one, and what usually happened was those of us who remained ended up with less work. That is because the ones who were let go were almost always low performers whose work usually needed a lot of review and redesign by the more competent ones, which was more work than just doing the whole thing over from the beginning. In some cases when it did cause a large burden to the remaining employees the project left behind by the laid off ones was left to die. And that often was the right answer since the low performers had so often been shuttled to projects that weren't very valuable to begin with. With no visibility into the Twitter case I don't know if there is much of the same effect that I experienced, although I am reading a lot of opinions on HN and elsewhere that some of the groups that have been decimated should have been killed off long ago.