How should the HR generalist respond if the department manager asks whether performance appraisal results will justify layoff decisions? Answers Performance appraisal results are the primary factor for determining layoffs. However, legal issues and the impact on company-wide strategy are also considerations. Performance appraisal results are the primary factor for determining layoffs. However, market decline is also a consideration. Salary is the primary factor for determining layoffs. However, performance appraisal results are also a consideration. Seniority is the primary factor for determining layoffs. However, performance appraisal results are also a consideration.