[Firehed]

Then the VP is not doing his/her job correctly. Someone needs to be aware of the budget for salaries and be responsible for ensuring it isn't exceeded (and held accountable if it is).

It's also very backwards (government-level!) thinking to be playing the hiring quota game like that. I'd much rather hire a few members in a kick-ass team than participate in a headcount battle.

[codeonfire]

I agree with your statements, but those are arguments about how it should be, and not how it is.

[chris_wot]

Seems to me that they need the level of developers they have, because they've said they are moving their whole division to India.

That's not a mass redundancy, that's a mass replacement.