Based on the perspective of technological progress in the context of value chain trade, this paper analyzes its impact on wage gaps between different countries and a domestic wage gap, and finds that under the role of rigid wage factors, value chain participation is only for middle-income countries. The wage level has played a significant positive promotion role, and the value chain division position and the vertical specialization division index have also played a significant positive role in boosting wages in high-income countries; among technological advances, R&D investment and foreign direct investment have played a significant positive role in wage levels in different income countries. In the domestic wage gap, it is found that value chain participation will significantly reduce the domestic wage gap between high-income countries or net inflows of labor force, and the value chain division position and vertical specialization index will also reduce domestic wages in middle-income countries or net labor-outflow countries. Technological progress factors, such as R&D investment in different types of countries, have played a role in narrowing within the wage gap. In order to promote the improvement of the wage level of a country and the reduction of the domestic wage gap, it is necessary to actively participate in the global value chain and increase the investment in R&D and the introduction of highly skilled labor.