It's like the workplace version of Instagram itself, where everybody shows their best side, is mildly ashamed of feeling anything but positive because of the collective emphasis on "good vibes only" and keeps any concerns, cynicism or suggestions that we're going in the wrong direction under wraps.
I think it's ultimately unhealthy (both individually, psychologically and to the company) and leads to the same problems you see in autocratic nations - the leaders only see everything going swimmingly.