This isn't engineers doing that. It's CYA IT cyber policies.
If the company still pushes forward with bad choices its on them, but they should be clearly informed how and why those choices are bad.
Some caveats: 1. Nobody will be convinced to change the position on the first attempt, but seeds of knowledge can be planted in other peoples heads and some of those seeds will bear fruit later. 2. Being not nice, shuts down the passageway of ideas.