Probably any system that is managed too efficiently starts to suck.

This is really an interesting example. Not sure if one should blame AI or capitalism for this. Kinda reminds me of Gattaca.

Theoretically capitalism could do this manually to optimize for profit, but there are limits. You can only hire so many completely psychotic human resources employees until very weird and bad shit starts to happen and your company is sucked straight into a hellmouth. But an AI robot is completely objective, unemotional, unbiased, beautifully soulless and can surely maximize profit endlessly with no pesky human side effects. Obviously it can't but that is the dream.