For starters Amazon's policy is similar to GE's in the 90's, where every year they would let go the bottom 10% of the workforce.
Either way, we need to decide whether the part of the workforce that is let go are bad workers or a mismatch with the company.
I want to believe that there are very few bad workers, and that the majority of cases are a question of mismatch.
If that's the case, parting way is the best outcome for both the company and the workers; so that they can both move on and seek metter match.
Maybe we need to embrace more this practice, and - AT THE SAME TIME - fix the hiring process that is broken beyond belief.