I'd prefer not having anything monitoring the toilet habits of employees, little bit creepy. And I think you are jumping to some wild conclusions, I'd recommend making some rational thoughts before typing and not projecting your self into everything you say.
Sure it can be at some times, but the morale boost of it and getting to know peoples music tastes is worth the trade off. Depends on the person if it's favourable or not, it isn't notoriously loud anyway, just loud enough to hear if you concentrate on it.