As a CEO who had to do some lay-offs, I would terminate loyal workers who care about the company the last, even if I had to change their focus.
At a certain size when you know all people in the company, a CEO always know which 15 % of people will be let go first and which 15 % will the company keep even if the business is losing money every month.
>My company is small enough to know everyone personally.
OK, so how do you identify, evaluate, and rank loyalty? If there's an objective mechanism for it, you shouldn't need to personally know everyone.
What I'm hearing is that you go by "feel" (aka the sum of all your biases) and make decisions based on that. How is this remotely objective, fair, or scalable?
Loyalty isn’t really valuable to the company when retention isn’t a concern.