The 10 percent lay-off is a rule that he applied for 20 years, while running GE.
“I firmly believe that those 10 percent pollute the rest of the team. I would rather take the chance to find replacements for them. It is better to have a vacancy than to give a job to someone who is unable to perform,” he said.
Welch added that it is important to exaggerate the benefits of a company, to attract talents for a start-up. “I would be everywhere, and tell them about the chance of their lifetime, about the chance of their becoming co-owners, about the chance of playing in business, about how we would go to the moon,” Welch added.
Jack Welch was in yesterday for a conference on leadership and management.
