i.e. Full-time work is only full-time until it ends, but the ending is inadequately spelled out on the side of management, so it becomes an ongoing expense drag, leading to diminishing returns.
Multiply this by the number of employees, layoffs seem inevitable.
The danger of this (to the employees) is a recession creating another 2009-like economy, where the best one could hope for is a contract gig of more than a couple of months. People tend to forget how disposably they can be treated during hard times.
What might work is automated Just-in-Time contracting, with minimal agency cost and lead-times, and with automation providing the stability of full-time employment. LinkedIn 2.0 essentially (fyi: this doesn't exist, I just made it up)