In bureaucracies like this, the fish inenvitably rots from the head. The people who offer the faculty positions are incompetent or indifferent. And the people who hired those people are incompetent or indifferent.

As such, it's a mess that literally can't be solved from within, it needs to be solved by the administration, and the boards who appoint them. The tenure system means it'll take generations to resolve.

Academia in the U.S. has seen systemic issues like this in the past (see: eugenics). Unfortunately the implication is that it'll continue to get worse until it's mostly made better by people retiring.