I feel like I'm arguing on the opposite side of my normal position here, but:
1) Migrants from non-EU countries coming to the UK already have to have English language certificates to enter the UK so this is bringing EU migrants in-line with that.
2) They don't necessarily have to meet the salary threshold as they can accrue enough points in other areas to meet the required amount of points. The current points system requires migrants to accrue all available points; this actually reduces the requirements.
Again, the issue isn't the system they're announcing, it's the end of freedom of movement that's caused this situation. The new system is more flexible than the current one, it's just going to apply to more people.
I completely agree with you that it's going to cause serious shortages in the low-skilled areas you cite though; we've got Brexit to thank for that.