I don't think it shows a very strong management structure in the company when they are giving options to their employees about fundamental company issues. It shouldn't be up to the employees. Amazingly, there is more stress and angst when the decision is made by the emotional than by those looking at the bottom line.
Would I? I would do what is best for the company in the long run. A flat 5% of each person's income isn't going to save the company that much - if they let someone go they then don't have to pay insurance, workman's comp, etc... so it would be better for the company to let someone go.
What is better for the company is better for ALL the employees.
Business decisions shouldn't be personal - it should be based on job performance.
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