Sounds like a lot of work. Instead, let's just keep maximizing income inequality. This way there will always be someone in the position to treat humans like the cogs they are!
Which position are you taking? The OPs comment isn’t going to make income inequality any better. Does “respecting” people by not saying they are a cog when it is not true help or hurt income? I’m sure your sarcastic comment is pointing to one of these.
I personally don’t enjoy giving some one no additional money or perks but pretending they are not cogs like OP is saying. You’re treating them like cogs by not paying them much.
The OPs comment does affect income inequality when implemented at scale.
As easy as the implementation is for you and your team, those results have relatively little affect in the scheme of things. In order to make the suggestion a paradigm shift, money would be moved from the top to the bottom in an "at scale" implementation.
Edit: paying your workers less per output has essentially been the last major management paradigm to drive growth over the past 20+ years. The counter examples (Costco) are the exception.