Earlier quoted context omitted.
Honestly, if the fired employees manager hasn't been giving them feedback that pretty clearly spells out where the current path is heading, that is a major failure of the manager. But some companies aren't great at feedback, particularly young ones where the mechanisms for regular, structured feedback aren't really in place yet. That said, I was laid off once at a company that was not doing well and had to make cuts…
Not that major management failure is ever punished, is it?
1. This person is having to fire a lot of people, something is up that needs to be investigated.
2. People are surprised, this person may not be the best manager.
The specific details are everything in this case, so it really depends. It can definitely come back and screw the manager though if it is indeed their own fault. Often times it may not be theirs alone though.