You can’t pay everyone that way, obviously. That’s why there are “minimum” wage laws.
Not really though. There are minimum wage laws to make politicians look good.
When 94% of the workers make more than minimum, there is no good reason to pay the least productive workers an inflated wage.
My neighbour's special needs kid will never be employed if I have to pay $15/hour for his limited productivity. At $9 I could have paid it for 20 hours a week.