Over my 42 years in IT I suffered layoff three times. Fortunately, every time it worked out that I was in better shape afterward. Of course it is traumatic when this occurs at someone else's decision instead of your own chosing. In the most extreme case, I was one of four developers terminated out of a group of nine. This was my first job as a developer and I was terminated with less than a year of experience.
My observation about these is that if an employer determines the job can be done with fewer employees, possibly the problem is management who are not getting the job done without excessive hiring. And I would further observe that the choices are not always objective either.
I accept some responsibility in that I was not always the ideal 'yes-man' to my managers. And in one situation I was the victim of 'downsizing' but was the only person 'downsized'. I think it had something to do with my suggestion that my manager really needed to take a shower a bit more often.
Disaster Recovery = Backup ( Backup ( Your Backup ) )