bloodletting

To bleed; let blood; phlebotomise.

The archaic practice of treating illness by removing some blood, believed to be tainted, from the stricken person.

(by extension) The diminishment of any resource with the hope that this will lead to a positive effect.

“Yet another round of corporate bloodletting.”

A circumstance, such as a battle, where a large amount of blood is likely to be spilled through violence.