As we grow up in life we learn that there are no 'easy' jobs and there is no free lunch. Hiring someone is hard work and firing him is also hard work. The fact that it's harder work than what our precious 'rank-and-file' do is the reason that managers and owners get paid so much more.
Hiring someone is hard work and firing him is also hard work.
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Middle management does most of the hiring and firing. The folks in senior management are (or should be) visionaries who steer the ship towards various strategic objectives and keep it on course. They may be involved in some higher level hiring and firing decisions, but generally not.
To you point about firing, nowadays its a risky thing to do that is fraught with legal, personal and other ramifications. And yes, people who hire and fire are making vital resource decisions for the company and should be well compensated for this important activity. Not everyone can do it.
Come on man.