To me, it's the opposite. I think the words used are not exactly well-thought-through, but what they seem to want to be saying is they want less bureaucratic overhead, smaller teams responsible for bigger projects and impact.
And wanting that is not automatically a bad thing. The fallacy of linearly scaling man-hour-output applies in both directions, otherwise it's illogical. We can't make fun of claims that 100 people can produce a product 10 times as fast as 10 people, but then turn around and automatically assume that layoffs lead to overburdened employees if the scope doesn't change, because now they'll have to do 10 times as much work.
Now they can, often in practice. But for that claim to hold more evidence is needed about the specifics of who is laid off and what projects have been culled, which we certainly don't seem to have here.