My manager was yelling at an employee ab out having something done. He yelled and said he wants it done yesterday. The employee asked how that was possible when yesterday was gone. The manager suspended the employee.
There are two possible scenarios that fit how little of the information you have given us.
Sounds to me like he was yelling at a lazy employee that didn't do his work and believed that he/she could be a smart aleck and fight the manager over his/her laziness. In this case, the employee was wrong and deserved to be suspended.
The department the employee was in and short staffed and was not able to complete the tasks for the day. The employee was possibly the one responsible for picking up the slack of the short staff and couldn't complete the work in time. When the expectations weren't met, the manager told him that it should have been done yesterday (possibly something important like filling holes) and wasn't. Which resulted in the manager being annoyed with the situation.
Either either scenario the employee still should not be a smart aleck and say "Yesterday is gone!" and the manager, if he was actually yelling, should have been able to keep his temper and handle it in a more professional matter.
Personal Thoughts: Your co-worker is probably lazy as hell and thinks that he can work how he/she wants rather than doing what needs to be done.