Isn't this sort of the opposite of what you want happening?
The big red flag here is that they didn't catch it for so long! How did they not notice?
“What doesnt kill you makes you stronger”, so to speak.
I’m thinking that something like unrestricted dev access for four days would be more like a death blow, though. I suppose that depends on how much source code was exfiltrated and how many backdoors got planted in systems, etc.
I don't consider that "short term" thinking.
In the short-term, definitely a drawback, and one of the reasons that I’d always recommend something like KeePass for most situations.