The real reason is because talent can travel and would be more likely to go to higher paying areas. Cut too much and it is "pay peanuts and get monkeys". This

The real reason is because talent can travel and would be more likely to go to higher paying areas. Cut too much and it is "pay peanuts and get monkeys". This isn't implying any innate inferiority of foreign nationals but that at large if they could already get $200k/yr instead of $20k/yr of course they would heavily bias the talent towards it leaving the average far worse. Plus businesses around then already should have learned a painful lesson during previous failed cost cutting attempts that IT isn't factory drudge work.