Every few years there would be a reorganization to create a bunch of new job titles and new useless layers of bureaucracy, since that's the only way to give people more than a cost-of-living raise.
You could fire half of them, hold the other half accountable to a reasonable level of productivity, and notice no difference. There might be a net gain.
Not saying that is a bad thing; actually, it probably improves overall productivity vs the US model. But it's not a free lunch, and it's not the employer's charity - it's the money people actually worked for, equally distributed over working days and holi-days.
They only pay the value of the package - you can calculate your hourly rate on total yearly pay / yearly hours worked, or are free to imagine you get paid total yearly pay / total hours of the year, and then boom, you're also paid for the vacations, for weekends, for the nights and so on. But in fact you're only paid because your boss knows what value you provide and how many hours you'll be there that year.
The student employees weren't much better, because it wasn't ever established what their behavior should be. I remember a lot of time spent torrenting, watching movies, and playing games -- occasionally breaking to reimage a computer.