Imagine you make $130k a year--that's about $65/hr in your eyes. But to the employer, factoring in the ancillary costs of benefits, and payroll taxes, you likely cost around $100/hr. What if instead, every person instead had their own little personal one-person LLC, and they worked as independent contractors? Then you would bill for hours worked, and you could get paid the $100/hr you actually cost.
The downside to this is that you don't get paid when you are sick, or have a child. But a more accurate way of putting that is that your coworkers do not subsidize/pay for your parental or sick leave. You'd have to get independent insurance to cover such situations. You would also get a solo 401(k) for saving, you'd get your own health insurance, and manage your own benefits in general.[1] It could be a bit empowering.
[1] A bit off-topic, but note that solo 401(k)s come with a higher contribution limit got $52,000 verses $18,000 for regular 401(k)s. I've also found that healthcare.gov offers a lot of choice (at least in New York, NY), and I'd rather my company pay me the amount they spend of health insurance, and I get my own care (provided there is an above-the-line tax deduction for health insurance premiums).