Horses were not workers. The were tools workers used.
Farmers used horses to plow the fields. Transport workers used them to transport goods and people. As those workers got better tools to plow and transport, productivity increased, society got richer.
There are also millions of old telegraphs, slide rules, and rotary phones "unemployed" across the world. The fate of these no longer needed tools tells us nothing about the conditions for human workers.
Also, the fact that you can't find a human example to make this argument, but have to use a loyal, brave, and majestic animal instead, should be enough to hint that this is maybe a bit of emotional manipulation rather than a rational argument.