You can easily construct differences of larger magnitude for what you might think of as "simple" jobs like telephone receptionist; a fluent english speaker is going to be more than 10x as productive in that job, assuming they're supposed to do business in english, than someone who can barely get by, and probably billions of times more productive than someone who can't speak english at all. There are a lot of Chinese people out there whose highest ambition is to "work in an office". I've met some of them! Most will never achieve that goal, because they don't have the requisite skills.
Most people who don't speak english won't apply for a job answering a telephone in english (but a lot of them will! This is exactly the kind of customer service representative everyone has grown to hate). I'd like to see some software job openings that specified a skill set, and were willing to hire people with that skill set. That doesn't seem to be the direction people are headed in, though...
I think that you are confusing "computer science" with "software development". It may be easy to get a Ph.D. in computer science and be poorly suited for work in the software development industry, but that's no more surprising than the fact that people can get Ph.D.'s in economics and be poorly suited for work in the finance industry.
Computer science is, obviously, related to software development, and in many cases its possible to take a CS degree that is focused on software development, but CS in general is not software development, and CS degrees in general are not vocational degrees in software development.
The best software developers may need to have extensive knowledge of CS, but merely having extensive knowledge of CS doesn't make you even a competent software developer.