Right, I guess I forgot the imported worker side of Qatar...

I mean there are multiple ways you can look at this policy. The way you mentioned. But for me, I see it as a disadvantage and a bit of a slap to the face. Because everyone - including non-members - can do a cash upgrade and receive lounge access. But the method that is exclusive to members is somehow worse, meaning that they would rather have cash upgrades by non-members than avios upgrades by members. Which in itself might be reasonable economically but still sends me a negative signal as a member. Then again you could also argue that members get an additional option to upgrade - but that doesn't really hold too much water since the fact of the matter is that more or less every other airline includes lounge access in miles upgrades for their members; so framing this as "good will" from QR towards their members falls flat.