Apparently not in your competition-free world.
The reality is that unless people know they will be fired and replaced, they will slack. Guaranteed.
Yes, that is the **real** world and the law of natural consequences. People are fired for lack of competency, inability to produce, or inability to work cooperatively with others to produce a desired result.
So?....How often are children “fired” from government school for lack of competency, or inability to get along with others? Hm? No, they are not “fired”. Instead they are “humiliated” and the other children are taught to “scorn” them.
Which is more humane?
1) Is it kinder and more considerate to humiliate and scorn children who are government captives in a government prison-like facility ( children whose only crime was to be born),...
... or?...
2) Do as private schools do? Inform them that they are not a good fit for the private school and the other children, and ask them to leave?
Which is more “real world” and better preparation for the adult world of work and social relationships?