If they reduced their workforce by 90%, so that the cost of labor is now a tenth of what it was, then they may have improved overall profit.

Of course, that doesn't include overhead, or anything else.

It it's an immediate decrease in output but they are planning on moving from 60 robots to 1000 robots in 2 years. so the 2 year expected capacity is 21,000,000 with a 5% defect rate vs. the 5,200,000 units with a 25% defect rate and wages/benefits for all those people.

All that matters is per unit cost. The rest is just a matter of scaling up.