His pay will be higher because smaller business can ' t compete , therefore he can charge an even higher premium for his servicesThat makes no sense . If the smaller business doesnt exist because regulation makes it impossible to be in the same market , then there is one fewer options for the job seeker . He cant bargain as hard with the big corp , because his leverage is reduced and its is increased . A more open job market is more or less the opposite of what you are arguing for . Globalism , anyone ? Because there ' s more people who can do the work . Im not talking about opening up the market globally . Im talking about how regulation tends to decrease the number of potential employers . In fact your example exactly demonstrates what Im talking about the number of job seekers outnumbers the number of jobs , so the job seekers get crappy pay and benefits . Restrictive job markets in the sense of fewer employers all experience that .