it's a failure because that condition was one of the reasons that he did not automate his job. A success of capitalism would be if it provided some incentive to automate the job.
Heh, good point. But still I wouldn't call it a failure, just a defect, or not optimal. The company as a whole probably works just fine.
If capitalism wasn't systemically geared towards creating an underclass of unemployed and desperate part time workers it might not be a failure.