My company has way too many fucking engineers that sit around doing nothing. Our profits are down YoY yet my boss just approved budget for additional engineers. My team honestly doesn't need them and I don't want to risk them getting laid off in a few months when the regression his us harder. How do I communicate this to my boss?

It would be best to approach this conversation with your boss in a calm and professional manner. Start by expressing your concerns about the company's profits being down year-over-year, and explain how adding more engineers may not be the best solution at this time. Provide data and examples to support your argument, such as current utilization rates for your team and any upcoming projects that may not require additional resources.

Leave. Start applying now!

Hand all your work to them and spend all your time working on side projects.

It all depends on your relationship with your boss, with normal teamwork you can convey his intelligence in a friendly way.