They are cut-rate in the sense that the government is getting their services more cheaply than if it employed them full time, but I agree that their quality isn't cut-rate at all. But I still say that deliberately setting up the military to routinely need reservists is pure exploitation; there's a sort of "don't call us, we'll call you" feel to it that's a long way from the 'loyalty from above' the troops deserve.
Although I can see where you are coming from, remember that a citizen military, that is draftees and reservists, is characteristic of Republics. Empires historically have used long service troops and reservists that are members of regular regiments not reserve units. We are in the transition to Empire from Republic, and have been since 1861.
The traditional meaning of "Army" from Confucius' day is "the People." (I am talking about traditional Chinese ideographs.) The Swiss system requires all men to be in the army, and until recently good army service was required to earn the right to vote. The Israeli army is patterned after the Swiss. These a Republican ways of organization. Our reserve and Guard organization is a remnant of our Republican past. Do not be in a hurry to reject it.