ROTFL!
HAH! Yikes... that's no fun...
In this story, though, they're both right. The boss has the right to fire the guy for whatever reason he wants... AND... the boss is a bastard for doing it.
But its probably also true that if the guy was a really valuable employee they all would've just had a laugh about it and forgotten it. The boss was probably gonna fire him eventually for something, and this happened to be it.