This...
> Like it's literally their job to know better.
...does not follow from this.
And executives get where they are, at least in significant part, because they are good at telling boards what they want to hear. They are also, generally speaking, in the same class as the board members, and together they are very willing to blame failures on those darn workers just doing a bad job at stuff.
"What is going on" is that the executive class in America has been progressively getting more and more divorced from the reality of actual production, and treating their opinions and expertise as if they are somehow definitive on everything related to their domain is very dangerous.