If the "violet letter" just put out by management comes to fruition in the form of BLG/RLG rollbacks, potential furloughs, and most certainly severely stagnated growth, has the company considered the financial hit from destroyed morale?

Don't think it won't happen, it's just that they are not accounting for it.

Anybody care to list the ways that this could end up costing far more than is expected? There are myriad ways that this could rear it's ugly head.