Your cynicism seems misplaced; up to a year's salary as severance sounds like a pretty sweet sugar-coating to me. They didn't "avoid bad press", they simply didn't do anything to merit bad press. What's wrong with someone voluntarily choosing to take money in exchange for a resignation? It's not as if there is something inherently wrong with "jobs going away" when your definition includes people voluntarily quitting their job.
To be fair, it's not entirely resignation. It's "take this X and resign, or be put on the list to be fired and get something less than X". It's still better than just being layed off, but it not as nice as a voluntary resignation.
