Well, then I don't know what to tell them. Keep wages low and attract stoners. Raise wages and dip into profits. Or hire illegals. Those are your choices.
You don't need to tell them anything. They already know what they're going to do. They're laying off the people who assemble machines, equipment and stuff together to sell in their stores and outsourcing it to companies who specialize in that type of fulfillment at a lower wage than $13 an hour. It's a business decision, not a social one.
Companies are always looking for ways to lower their cost of doing business. This type of outsourcing is not uncommon.