Why would they pay more, if they just hold out long enough, someone will take the job. If enough companies do this, a new wage rate is established.
We are in a strange time with globalism, companies are in a race to the bottom in regards to employee pay. Employees are losing negotiating leverage as their employer can simply turn to emerging markets to hire talent for half the price. Granted that talent may not be as good but they also save on benefits.
There is also a critical level where if enough companies are paying low wages, the employees cant just threaten to go somewhere else and make more, there is no where else. So they have to eat and take the lower salary job, setting a new lower median wage for the market place. Meanwhile the cost of basic goods continues to rise.
Communism is nonsense, but Marxism has a very important point in that the primary driver of world power is not countries but classes, those that hold the means of production and money against everyone else.