The first part might be true for people in the same area as you are in, but if you give someone who is in a bad region a job with absolutely shitty working conditions, they would probably take it because it's the only way to actually earn money, even though it's just a few cents in your currency.

The Part about government connections are also true, governments tax everyone to save banks and fund people who are exploiting others and who already have enough capital. They also do very little to stop the exploitation of people in poor countries by rich people.