Honestly, the premise seems exactly backward to me. I remember taking a selfie of myself on two different phones to compare their forward-facing cameras. The image quality on both was roughly the same, but one had subtle skin smoothing and lighting adjustments, the other one didn't. The one with "beauty filters" generally matched what I assumed I looked like to other people. The one without the "beauty filters" made me look much worse than my own mental picture of myself.
I'm sure the one without beauty filters was more accurate, but it made me more self-conscious about my appearance and kinda made me realize "shoot, I'm actually uglier than I thought", and that bummed me out. It certainly didn't help my self-esteem or self-confidence! I rather suspect that subtle automatic retouching would actually be good for one's mental health.