It lacks filtering. Adequate debouncing can be done digitally so it isn't a huge deal. It will fail in the presence of more than a few volts of RF. Not great, not terrible.
Y'know, phono jacks are probably quite insensitive to charged cable transients -- that is, say a cable ends up with a charge between conductors, due to odd fields around the connector, handling (triboelectricity between the wires in the cable), etc. Even if you insert it carefully, it'll be impossible to avoid shorting it out, or at least approaching a gap that can be bridged by more than a few kV. The hundreds of volts left over will be easily handled by the ESD diode.
Tim