Doing layoffs doesn't necessarily mean you don't have the cash to pay everyone, or even that you're not cashflow positive. Sometimes orgs do big layoffs amidst big hiring pushes, meaning they don't feel like their resources are allocated correctly. Sometimes layoffs are a part of bigger organizational restructuring (this is Mozilla), saying they want to emphasize certain parts of the business and downsize others. If layoffs weren't evenly distributed around the company (ie every org loses 5% vs. we just laid off all of x department), it can mean different things.