And ignoring Economics 101 in the process.
First, to one of your original questions...I have no idea what the relative unemployment rates are in Australia, but here in the US the IT unemployment rate is about the same as that for the general working public. There are at least a half dozen sources, both in and outside the industry, to corroborate that.
You're complaining that lower priced workers doing the same work get the jobs before the higher priced workers. Wow, what a surprise. What are companies supposed to do...employ you at the expense of their own bottom lines?
To your comment about dodgy work by the lower priced resources, I personally have no argument on that having seen the same thing myself. But quality is in the eye of the beholder. As IT professionals you and I can judge the quality of the work at a low level of detail. You can't expect that anyone else, even the person responsible for paying the bills, can apply the same rigorous analysis to that assessment. When you drive your car, unless you're a qualified mechanic you can judge whether or not the car is a good ride but do you really have any idea if one particular component is working right?
You've missed Oz Media's point entirely. You're competing against lower priced workers doing the same job, so you sold your house in order to keep competing. YOU MADE A WRONG DECISION. You've decided to limit yourself to just what you know, just what you do, just what you're comfortable with. Why not move up, out, sideways, any which way? You're treading water and you're complaining about drowning.
Your argument that we'll all be competing for fewer and fewer high paying jobs is preposterous. It assumes that the future is the same as the present. When I started in this industry, in the late 60's, literally NOTHING that exists today existed back then. The opportunities available to me, and you, and everyone else, today as opposed to yesterday are limited only by your own imagination.
I'm not holding myself up as an example of what to do or not do, but just for the sake of information...in a career spanning more than 35 years I've worked for six companies and had about two dozen different jobs. And I do mean DIFFERENT. Always in IT, but always something new and exciting with learning and growth potential. I've been promoted, I've been laid off, I've gotten awards and accolades, I've been fired, I've been published, I've been shunted aside. That's life...you pick yourself up, you dust yourself off, you find a new gig and join a new band. Dance to the music that's playing, and if they're not playing your song learn a new dance.
Step out of your comfort zone. You'll drown.