It depends on the listener's relationship with the person in question.
If you're on the receiving end, then that model and the act done to you are irrelevant.
If someone is applying for a job and they tell you "I was fired from my last job" vs "I was laid off from my last job", that changes your perspective on them.
Having terms that distinguish whether or not it's "for cause" are a useful language feature.
Regardless of how you want to word it, or how you perceive it to play out socially, it does not diminish the act.