No, it means that if you find yourself surrounded by mediocre/incompetent people, it means that you aren't working at a good place and that you may be mediocre too.
It couldn't possibly be that the H1-B's that his company is hiring are bad, because his company is trying to save a buck by abusing the system, because that never happens.
You are not refuting what I said. The company is doing what it can do to maximize revenue and reduce costs. If you are working at such a company, that reflects on your skill more than anything else.
