So when was it any different? Doesn't any business man try and reduce costs as much as possible, or do you think that any of them ever thought "I know, I'll just make enough to cover my costs plus just a little profit, and that way I can pay my workers as much as possible"?-Under the capitalist system workers are no longer paid for the value of what they produce, nor do they retain rights to ownership of what they produce, instead they are paid by how little compensation someone else is willing to do the same job for. Just as it is understood that market competition drives the price of other commodities down, it has the same impact on labor when labor is a commodity.
That somewhat naive and dreamlike world of the Left Wing again. A Utopian situation that has never, and will never, exist.
[Cue- "yeah but there's this capsicum farmer in Southern Chile who......etc etc" type of comment.]
A sad fact of life is that anything is worth only what you can sell it for, and that is influenced by market conditions at the time. If you can only offer basic skills then there's plenty who'll do the job for less, a fact exploited by industry for centuries, especially when the list of unemployed is growing all the time.
Spout the old dogma all you like, but it ultimately changes nothing.