Well there is labor shortage for the exact same reason - if paying workers fairly means it is not worth hiring them then there is no business, hence no demand f

Well there is labor shortage for the exact same reason - if paying workers fairly means it is not worth hiring them then there is no business, hence no demand for workers. Labor shortage just means that the market is not in equilibrium where for all the conditions labor is asked for there is an offer available on the market. It goes both ways.