Place that let adults choose who to work for and who to employ, and furthermore consider it improper to even use the word “let” in this context, universally have better employment situations than places that follow your “spherical cow” theoretical planned / over-regulated economies.

You seem to ascribe agency only to the employers, but remember that every Uber driver and every shitty minimum-wage job holder is almost certainly just doing their best. Making their jobs illegal will not improve their lives one iota, not in theory, and not in practice.