Sorry for poor wording - my idea was just to propose a situation where you have to pay your employees more somehow, like for example your lead engineer quit and

Sorry for poor wording - my idea was just to propose a situation where you have to pay your employees more somehow, like for example your lead engineer quit and new hire as a substitute will cost you 20% more. The real question is how the business can mitigate rising salary (and lowering of margins) and whether there is relation between labour cost and price of goods.