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Bottom 10% on AFQT is not the same as bottom 10% on IQ test. This would be more like bottom 20% on IQ test. Countries with mean IQs of 85-90 still find uses for these people; otherwise unemployment rates would be much higher. In the US, a high minimum wage and other regulation creates an incentive to choose smarter workers. If you have to pay $15/hour, you're gonna want the smarter worker/.
I am skeptical that IQ tests measure what we think they measure in developing countries. Even those tests that pertain to be context-free and that don't require one to be able to read. It takes intelligence and cunning to hunt and forage, or to run a homestead farm, or to navigate life in a shanty-town. I think that an American with IQ of 70 and a Papua New Guinean with an IQ of 70 differ greatly in how well they can take care of themselves.
The US Army doesn't specify the IQ cutoff; some people estimate it at 83 (that's what I remember from McNamamara's Folly. Standard deviation of IQ is 15, mean 100, so below 83 is 11.5%.
The US Army by law restricts the employment of the next 20 percentiles (11th--31st) to be no higher than 20% of the applicant pool:
The corresponding IQs would be in the 83-93 range.
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