In some US companies it is already like that, that citizenship is a priced good. Especially since most teams are a collection of differently sourced consultants. You rarely see any real employment besides the project manager.

And yes, a lot of the stuff feels like feudalism. But from my perspective the feudalism part comes from topic ownership and titles, budget ownership and headcount more than from employment status. Of course you can't get your own budget if you are not a full-time employee, but just because you're a full-time employee doesn't mean you will ever get your own budget to manage.