It wasn’t difficult to see this coming. This podcast from 2013 explained how chasing cheap labor was very short sighted and doomed to fail. The addendum, just added, explains how companies that recognize the value of talent and their responsibility in investing in it can endure, while others cannot.
Don’t let a line item on your P&L fool you into silly decisions. Don’t let the IRS determine when you will invest in people, equipment, or the future. It’s your business. If you think it matters, act accordingly.