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What isn't illegal but should be?
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I think that it depends on the nature of the contract. Sure, most of them are terrible.
On the other hand, NDAs are a form of employment contract that are often a necessity. Non-compete contracts can serve a legitimate purpose, in preventing unfair competition or using company secrets for person gain. They're usually written in an overly broad manner though, or prevent legitimate employee activities.
I would argue that all employment contracts are terrible due to their violation of the principle that legal and de facto responsibility should match. De facto responsibility is de facto non-transferable, so there is no way for legal and de facto responsibility to match in an employment contract. Instead, workers should always be individually or jointly self-employed as in a worker coop
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