More money being made but the workers not seeing the benefits of that is of course going to lead to low morale.

It's more about unemployment & wages, but these things are connected in many ways. With more unemployment, employers have more power (since the supply of labor is higher) so employees have to grin and bear more abuse, including lower wages.

Back in March '23, Powell talked about enacting monetary policy specifically to raise unemployment. Labor was too strong, wages were too high. He felt that this was contributing to inflation. A lot of economists, like Jeremy Siegel, said there was too much low hanging fruit for the fed to be so focused on increasing unemployment, which would cause a lot of disruption to the working class for minimal gain. The fed will generally side with capital though.