This is the latest Changelog: Check the second from bottom, they are working on it.

Change Log - 0.30.113953

5. JANUAR - HICKS_206

New:

Design: Balancing of player spawns (ongoing)
Server: Dead player cleanup (time based)
Design: M9130 Bayonet can now open cans
Server: BattlEye Anti-Cheat (Client as well)
Server: Initial implementation for Sub-Private Hives (ongoing)
Server: Initial implementation for regular & hardcore Public Hive

Fixed:

Server: Dedicated Server crash related to player skeleton
Server: Player location rubberbanding (ongoing)
Server: Large delay in item manipulation and "inventory tetris"

Server: Player location rubberbanding (ongoing)

It says ongoing. Your idea is not that bad though...

It says fixed. It certainly isn't.

I think it's a problem with the network bubble. The problem with the current system over the mods system, is as you move, especially through a town or near one, the client has to download all the objects, players and other updates and send out your updates to any players in the area.

I think they need to add a much larger sub bubble that records loot on the ground then updates the main client but ignores players and zombies to buffer the load.

I initially found a few servers that did not have the issue but now it seems like every server is rubber banding me all over the place. Was really looking forward to trying the alpha some more today (just bought it last night). Wish I could figure out which servers weren't doing it. It was easy to tell once you were logged as you could hit your jump key and nothing would happen.