When you lay off your software engineers and subject matter experts, the pain appears later. The money is back, but all the skilled labor is gone forever. The capability dies. That’s not good when you kill the weapons support systems. There is no reason to show loyalty to an employer who throws you on the street.
There is also no reason to pay for 10 people when all you need is 5.
You really think those civ union jobs/rules/contracts are any different when working for/with the mil than any other branch of govt? Really?