In theory, you'd think so.

In practice, due to the phenomenon described here https://news.ycombinator.com/item?id=43662738, it's less relevant than you think. Specifically at Google, there have been reports of high performers, recently promoted with excellent ratings before and after the promotion, getting the sack.

In my experience, people who do good work do so because they enjoy the work and feel motivated, not due to any kind of performance management system or threat. Destroy the joy or motivation, and you've just destroyed a large part of the performance of these self-driven people.

People often talk about "10x engineers", but not how it's possible to destroy a 10x engineer and turn them into a (let's be generous) 2x engineer, and I think capricious layoffs are a great way to do just that.