Notwithstanding that, yes, it is economically ignorant. You can cite all the bogus unemployment numbers you want, but I'll wager that you'll read the next thread about outsourcing and write complaining about how we're regulating companies to death.
realize that the law has to provide recourse against bad acts of employers.
Nonsense. It doesn't, and it didn't for 200 years. The point was that irresponsible--voracious? mendacious?--companies make that sort of legislation inevitable for all of us. The decision makers should be horse-whipped.
It did not work in the previous 200 years.
And that is why there is labor regulation now, to curb the abuses that experience has shown will arise.