I agree. Any system in which individual customers do not make personal choices and pay for them, and in which individual employees are not responsible for their personal successes or failures, is going to be more or less dysfunctional. The longer the system is in existence, the bigger it gets, and the more influence non-customers have, the worse things will be.
This appears to be a natural law of human behavior, which no amount of wishful thinking or attempted "social engineering" will change.
“Now, legal plunder can be committed in an infinite number of ways. Thus we have an infinite number of plans for organizing it: tariffs, protection, benefits, subsidies, encouragements, progressive taxation, PUBLIC SCHOOLS, guaranteed jobs, guaranteed profits, minimum wages, a right to relief, a right to the tools of labor, free credit, and so on, and so on. All these plans as a whole with their common aim of legal plunder constitute socialism.”
Frederic Bastiat 1801-1850 - “The Law”