Eh, that’s just the minimum that’s legally required to be an exempt employee. I don’t know that’s the “bulk” of them.
No software engineer is making that. They’re making $50k, the first year out of school, easy… no matter where they’re working. In a bigger metro area, they’re going to be making way more.
Again, maybe not “rockstar money”, but it’s definitely a very comfortable living.
Honestly, if you want to look into exploitation, I’d first look at the diploma mills that are non-accredited schools handing out useless game design degrees, with ads on TV telling kids that making games involves just sitting around playing games.