If you paid instructors a proper wage the cost of learning to fly would go UP and the number of customers would go DOWN = less instructors and aircraft required; everyone suffers. It's the old law of supply and demand.
I did the AFI course at the same time BA was laying off pilots with the result that quite a few went back into instructing and as a result there were less instructing posts available and I couldn't afford to give up the day job. However, doing the course was interesting and educational.