I can explain this question
Rainboe asked " I cannot understand how cash pressed companies have all followed each other down that black hole without pausing for thought."
Turkeys don't vote for Christmas.
If you work for a company that is struggling the last thing employees \ management will do is say -- "This isn't going to work, lets all give up"
They will look for other jobs, save their money for when it all ends, or stick their heads in the sand.
Meanwhile managers will try to save their skin but hide the truth from employees "Everything is fine..."
Been there!