Henry Ford, who wasn't exactly a lover of employees, understood capitalism: people have to have enough money to buy your product and, when they do, you make more money from more product sales. Walmart has lamented that its sales have slowed and same-store sales are not increasing at the rate it to which it grew accustomed.
If one studies the emerging market areas of the world -- Mexico, China, and beyond -- you see what the lack of a middle class does. The worker labors for hours yet cannot afford to buy the product produced. As a result, the work is exported but with middle classes squeezed in mature markets, the enthusiasm and ability to purchase is also diminished. I was just in a meeting with Mexican officials who are discouraged because U.S. companies once flocked to that country to set up shop. After giving them practically anything they wanted, they have now abandoned the properties (often with contamination) and moved to China. I will bet as that market grows, they'll again move to even lower standard of living areas. But those at the top continue to pull in the wealth and the separation between haves and have-nots grows. Our capitalistic system is beginning to remind me more of a communist system found in the Soviet Union; those with the capability to influence government benefited while the average person nearly starved until the system collapsed.