This assumes there isn't a situation where worker output is static. I think there's an argument that treating workers better would increase their job satisfacti

This assumes there isn't a situation where worker output is static. I think there's an argument that treating workers better would increase their job satisfaction and overall attitude. When workers are happier, they are better at their jobs - this could nudge up sales and margins. My hypothesis as to why companies don't do this is 1) smart ones ARE doing this (see FAANG), 2) it's harder to measure whereas cost savings are a great way to focus on short term.