Yikes, that would be a clear sign to me of a... culture fit... problem at work. And I'd immediately begin looking elsewhere.
I'm not sure how much value there is in that kind of monitoring, but it isn't necessarily bad.
I dick around all day at work, I watched YouTube video in the background, I still use paper notes so my cursor can be still for an hour sometimes, etc and I never received anything like that. That's over 4 employers since I went full time remote.
Not saying they're not "watching" me, but they don't seem to care.
Is there a typical profile for companies that go that far in the 1984 crazyness?
Context switches can really kill productivity. So much that sometimes I do much more work in a 2h window between 7am and 9am than the next 6-7 hours.