If a universal basic income existed, I would agree with you. Since it doesn't, this employment model is exploitative. There is a limited amount of paid work to go around. Being able to avoid being one of the people who draws the short stick is inconsequential to the problem.

People like to say, "if you do X like me, youll get ahead or be your own boss or ___". It may be true for some people, but it comes almost directly at the cost of putting someone else in the bad place you were trying to get out of. So with respect to trying to improve the overall system, shuffling people around isnt going to help.