Can't give too many details away here as this is an ongoing situation, but so unbelievable I had to share.
I work for a large firm mostly controlled – but not owned – by a single family. Things have not been doing too well recently, so they're downsizing. One of the business units potentially being downsized is run by one of the family kids, who is pretty talented but 100% in that specific job because he's one of the family kids. Additionally, things aren't going great at least partly because he's not been doing a good job.
The threat of downsizing isn't going over well, not least because Main Company relies a lot on Son's Business Unit for services they need. Any attempt to downsize might lead to more people, and especially vital people, looking at the situation and heading elsewhere. So, Main Company needs to save money, but they can't take the risk that everyone walks if they make even small cuts to Son's Business Unit.
Solution?
Attract external investment and spin SBU into its own entity. Everyone keeps their jobs, Main Company saves on the wage bill, there's an agreement that New Entity will continue to supply Main Company with necessary services…and there's already external investment interested.
What amazes me – although you'll tell me I should have expected it – is the proposed package for Son in New Entity. An instant $1m in shares with more to follow, higher salary, extensive executive privileges held over from Main Company, various veto powers and a multi-million dollar sales pipeline from Main Company, all guaranteed for years, plus a load of 'inherited' IP everyone else created. All this for not being good enough at his job to avoid this situation in the first place.
Everyone has been working their asses off trying to save jobs and it took about five minutes for these rich assholes to turn it into a grift. They'll use Main Company money to create a new family firm, install Son at the top with a million+ dollars, rain money on him from Main Company and New Investors, and claim it was genius business. Everyone else who joins New Entity from Son's Business Unit gets a coke and a smile, and the chance not to get fired for a bit longer – but I can't hope the investors pull out, because lots more jobs, healthcare etc. will be lost.
TL:DR – Family firm turns need to save jobs into opportunity to make family even richer