Back again on Layoffs

Again thinking of layoffs, not able to help it as I need to think on meeting the productivity vis-a-vis cost and its driving me nuts.

I read another layoff tale on Rediff today, by Charan Sethi (obviously name changed)on his story and the learnings. Interesting he says to action on the safety / backup measures immediately and not to procrastinate. But with a fear of layoff at the back of your mind, how would an employee be able to give more than 100%, which is the expected norms during tough times.

Logically it is wise to have options with you, but once you get an option / start looking for an option, the engagement levels fall and it directly affects the immediate performance, which might result in the person being laid off actually faster.

I would second with him, when he says that we should not procrastinate upgrading ourselves, learning new things and start saving. But how much of it can be done in a hurry is to be seen