I guess the question for society is: do we want businesses who cannot pay domestic workers a fair wage to exist in our country? Or do we want them to exist elsewhere and we import those products?

To society a startup with a 99%% chance of failing to IPO is no different from a sweatshop which also wants skilled but cheap labor.

The solution is obviously the American one. Make everyone so afraid of their job prospects that working for a startup isn't materially different in terms of job security.