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Suppose High Brow Cat Kennels which has sold over 50 franchises, has decided to purge its top and middle managers. Some managers charged with deciding who to terminate might decide to keep the subordinates they like, and who are obedient to them, rather than the ones who are difficult, unskilled, or the best performers. They might decide to lay off the most highly paid subordinates even if they are high performers. As the head of the task force who has investigated this situation, prepare a memo to Dr. Singh, CEO, of the ethical issues involved in changing the hierarchy and its possible effects on stakeholders. Give a solution to this problem.

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