While 120k / year may sound a lot, the reality is that these tech companies are based in some of the most expensive places to live in the world. The cheapest rents in even the seediest parts of Silicon Valley top 4k per month, for instance. That generous pay packet is very rapidly eroded by living costs.
I also note that Twitter were paying that before Musk started demanding 80 hour weeks from his employees. He is in fact demanding a very large pay cut. Consider that 80 work hours constitutes close to 75% of most peoples' waking hours - and that isn't factoring in commute times, which for most is likely to be long. How long do you think most will be able to stand this pace before damaging their mental and/or physical health... or worse? 120k to destroy your health hardily seems like an equitable deal to me.
Finally, how good a job do you think a moderator working those sort of hours will be able to do? Twitter already couldn't cope with its moderation requirements - in that context a 15% cut in moderator numbers is unlikely to improve matters.
Why would Twitter moderators (for example), need to commute, or, even live anywhere near Twitter Headquarters? Twitter is an online Company, can't the moderating be done from home, or, indeed, almost anywhere?