This just isn’t true.I believe that to be an incorrect statement, based on my own experience. I have seen companies hire the wrong people and pay the price.
Every company has a “probation period” usually 3 months where either party can terminate the agreement.
I believe that to be an incorrect statement; while I've always seen probationary periods, in this very set of threads "akelly" says that nobody has probation periods. This evidence suggests that "akelly" has never worked at a company with a probationary period (and has foolishly extended their own personal experience into the universal, but that's a separate mistake).
I would also suggest that there is an opportunity cost attached; if someone is fired at the end of their three or six month probation period, the good candidate that replaces them is six months behind.
Some companies end up with drifting dead wood employees; not fired, just moved around from team to team, department to department, because the company makes firing people harder (or more costly to the manager / team-lead) than moving them. This can go on for years. That seems quite a large cost. I've also seen managers simply sideline bad employees rather than dismissing them, for reasons of company politics and face. I've also seen bad hires get promoted, in cases where promoting someone is easier and less costly (to the relevant team lead or manager) than dismissing them; that can be really damaging.