Is it ethical and legal for a business organization to try and force a staff out?

[Kross]

Some business organizations don't want a staff any longer, but they don't want to sack the staff because they don't want to pay severance package.

They now treat the staff badly and display oppressive tendencies to force the staff to resign.

Does a staff have a good case against the business organization if this happens?

 

[eLdavis]

There should be valid reasons as to why they are doing this or else the staff should have the right to sue them.