Help me understand the mechanism for point 2. Why would lower rates lead to increased competition for labor? Or higher wages? Increased wages follow increases

Help me understand the mechanism for point 2. Why would lower rates lead to increased competition for labor? Or higher wages? Increased wages follow increases in productivity. I can see lower rates spurring businesses to invest in equipment that would increase productivity, but the experience over the past decade has been quite the opposite: productivity growth has slowed despite historically low rates.