Yes, it does, admittedly not as smooth as solidworks. FreeCAD has come a LONG way recently. With more users, it will just get better and better.
Suppose it doesn't though, I don't agree that it is knee capping students. My school started teaching CAD in 10th grade, and at that point you are just learning the basics like GD&T, so it isnt that important if the CAD package can make 1000 part assemblies and sub assemblies. You can teach all the basics with FreeCAD, no problem