Tricky balance here. The workers do need to be accountable to some extent. Otherwise, what incentive is there to keep them from turning off their brains? But some of those measures seem extreme.
The boss is the one whose money is on the table and rear is on the line. Risk. He (/she) is the one putting the chips on the table, and when the company turns a profit, it is his (and sometimes it is shared). So why should it be costing the workers when the risk that the boss takes on (owning his own company) does not go so well.
I think this would be fair if he had a profit sharing plan. When things go well, you all make out, and when you screw up, you all share that too.
