I would never want to work for a company whose stock would rise if they fired people. Such a company is ripe for hostile takeover and dramatic reorganization. A quality employee could get caught up in the meat grinder when the company is taken over.
Minimum wage laws should be re-named as "minimum productivity laws". If an employee doesn't contribute enough to the company to justify his pay, he needs to go. Profit-making companies are not charities.
Should companies pay more to more productive workers?
I actually think they should do it like the military. First everyone knows how much everyone makes. No problem. The advancement is based off a test at least in the junior to mid ranks. The rest is by a board. Very fair system. Companies should implement this. They’d be better off.