re: Fire your hire 12 months later and costs the company 1.7 Million dollars

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Fire your hire 12 months later and costs the company 1.7 Million dollars
This doesn't happen in the real world does it?

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Bullshite!
Of course it happens. Coporate America is full of stories of highly paid executives who cratered companies or just created conflicts and were let go with a "Golden Parachute" buyout. It's happened at Apple a couple of times.
Sometimes personalities clash. Sometimes you hire what the Harvard Business Reviews calls the "temperamental talent".
Saban has jettisoned dudes after a year stint. Although it didn't cost LSU any money in 2000, Saban canned John Thompson as DC a month or so after his arrival. They had different visions of how a defense should look. Thompson's was gimmicky and Saban wasn't having that. Canada's O is gimmicky and needed to go.