I was thinking back to Hot Rod's old school Piper Pit, and how the coconut is one of the most famous WWF and most heelish moments ever. It really showed what a bastard Piper was. That's why, I think Jericho could REALLY, REALLY get over as a total rat bastard with his Highlite Reel. Him beating Hurricane every week and chilling with Hunter won't do it, but I think this plan would. Austin is retired, and will always be looked at as a badass, so why not give a wrestler some rub? Have Jericho get Austin on his show, have Jericho verbally attack Austin, run down his injuries, etc. etc. Austin gets in Jericho's face, Jericho turns away like he's punked out, grabs let's say, a crutch or something, breaks it over Austin's back taking him out. Then, Y2J pops the Walls on, and won't let go for the world. They could do it a million ways... get Austin on the show, get Jericho to blast him with some foreign object, then the Walls. It could make Jericho a HUGE bastard heel.
Rorschach: "None of you understand. I'm not locked up in here with you. You're locked up in here with me."
I didn't get to see the Hi-Lite Reel segment, and if they have a little opening for it on the Titantron. But if there is and they went through with your plan, it would be great if a clip of the Austin attack became the first clip or main focus of the opening. Jericho could also threaten other guests that he will leave them crippled like Austin.