That’s a feature, not a bug. You don’t have to kick people out if they can’t renew, you just don’t let them back in.
When I was living in the US, I was on an E-3 visa and my wife was on an F-1. My visa lasted for 2 years, however my I-94 (which permits me to remain in the US) lasted for 3. My wife's visa was for a single year but her I-94 was for the entire duration of her study.
What this means in practice is that if you travel internationally during the period in which you have a valid I-94 but no valid visa, you have to renew. However if you _don't_ travel and just stay in the US, you don't have to bother.
I can't imagine how this is anything but a bug. The US wants my wife to demonstrate intent to return home (e.g. by frequently visiting) but actively discourages her from doing so (by forcing a burdensome visa renewal each time).
As someone who went through the H1-B process and had my status threaten a number of times (downsizing), it was just a reality - if I lose my visa I go back home and maybe try again.
It never stopped me from major live decisions like buying a house.
Immigrating to a new country is taking the risk that you can’t stay. I accepted that when I immigrated.
No one would complain if H1B was a transparent and clear system (like a points-based immigration system). In reality its often arbitrary, with your visa status hanging on the political tides of the country, or how a visa/border officers day is going. That kind of unpredictability wasn't clear to me when I got the H1B and isn't any kind of well-defined risk you can accept before going down that path.
But it doesn't need to be so tenuous.
Emigrating to the Netherlands seems like a friendly walk in the park compared to the capricious bullshit that immigrants to America are subjected to. I'm ashamed my country treats people like this.
It's idiotic to make it hard for immigrants to get back on their feet, it's not like working immigrants cost money..., what cost money is to lose them to a competing country...
But in essence you're right anyway: immigration is a privilege, complaining about it is really unfair to a country that was never forced to take you in in the first place. The only thing we the immigrants and the host countries can do, is compete on entry condition, to bring the most high skilled, high asset immigrants.
You can absolutely renew your status in the US. It's just when you travel that you need to make sure you have it stamped to return.