Why must a mistake have been made, as opposed to just changes in the market? Doesn't this presuppose that people are entitled to keep their job as long as they want to, and if the company no longer needs them, it's a violation of that right?

And even if it's because the leaders of the company misjudged something, I'm unclear how that means that employees who were laid off have had some great injustice visited upon them.

I got laid off from Block a little over a year ago, and I wasn't salty about it at all. They paid me millions of dollars over the years I was there, they gave me great severance, and I don't view myself as entitled to be able to sell my labor to them, just as I don't view them as being entitled to buy my labor. I wouldn't have felt bad ending my employment if it was best for me, why should they feel bad for doing the same?