Comment by owaty

Don't compete on the price then. Compete on something else, like the working conditions.

The author describes how they had to drive 50 miles every day, use the corporate laptop (or install shady software on their own one), not get a response for many days. Basically, their rate (and the total cost) covers not just the work they do, but all the frustration that comes with the work.

Now, if you treat your staff better than that — remove all the hurdles, answer their emails promptly etc. ­— then there will be many talented people who'd prefer it over a meaningless-but-highly-paid alternative.