This happens a lot in over crowded markets too. In the Indian IT scenario, there are a lot of freshers every year in the market who will work for almost any sta

This happens a lot in over crowded markets too. In the Indian IT scenario, there are a lot of freshers every year in the market who will work for almost any starting salary(I was one such a guy at one point in time). So nobody in the chain would complain excessively about their salary, doing so would mean they are welcome to leave. The company would lose nothing as there is enough supply of workers ready to work at the price they want. The employee loses out on the longer run.