I wish people would use terms like "liquid market" rather than the extremely disingenuous "free market" terminology. Free markets are a marketing term that doesn't apply to reality.
What you may be thinking of is a “fluid market”, which corresponds to how loose or tight a labor market is.
Either way, there is no problem with saying that the free market is working as it should here…free markets are a concept and of course 2 words will never summarize the extremely complex world of supply and demand, and all the exceptions to the rules(neither will whatever 2 words you come up with).
Look, I know it's a handy phrase that we've all grown accustomed to, but when it doesn't fit, we shouldn't try and force it to fit, just because it's comfortable.
But I guess this is your hill to die on, not mine.
Sounds like you're the one that got conned.