I don’t agree that Chinese labour is cheaper is because the government forces people work for low salaries. Sure there is a lot of intervention, but that’s a stretch. In any case, using your example, there are Indian, Vietnamese and Turkish workers that are willing to do the work Cisco needs at a cheaper price than Cisco is required to pay in America. If Cisco doesn’t recruit them, a competitor does and that competitor gains a material advantage over Cisco. Some companies and industries can absorb the inefficiency better than others, and it might not kill them immediately, but in the long run forcing your country’s businesses to operate uncompetitively is very bad.
Why does the reason matter? If Cisco isn’t competitive, they die. How do you propose they stay in business when Huawei is selling the same thing for half the price?
Why does it have to be a western democracy? Chinese companies are a good example - Cisco is rapidly losing market share to Huawei, who can employ skilled workers at a fraction of the price.
You’ll also be watching American businesses dying as they lose to global competitors who operate in a much more favourable regulatory environment, because their country doesn’t force them to pay 150k per engineer.
In the long term, Cisco needs to be competitive in the global marketplace to survive. When you force companies like Cisco to pay above market rates, it benefits American workers in the short term but over time the company will lose to e.g. Huawei who are operating in a much more favourable regulatory environment. At that point, America loses in a big way.
Honest question: if immigrants are willing to do the same job for less money, why do US citizens deserve special treatment and higher wages? Why should companies be forced to not hire in an economically optimal way?