Morally wrong: It is morally wrong to downsize a company due to profitability reasons because it in effect causes a lot of harm for little benefits. The author says that one some aspects, harms and benefits are "incommensurable" - meaning it does not entail merely the loss of income on the part of the workers. He says that some statistics demonstrate that downsizing also leads to loss of homes and even to suicides. On the other hand, since investors in large corporations tend to diversify their assets, they only gain minor benefits when stock prices rise. He points to a distinction when downsizing is a means to an end: It is morally reprehensible for a CEO to layoff workers, consciously knowing that the act would boost the stock price of company as differentiated from an act when a company downsizes to boost productivity.
Legitimate Expectations: For a worker, having a secure job is tied to his fundamental well-being.