> Wouldn't most employees fall under the first category,
Tell that to any college/university in the western world!
There's a reason tuitions have risen so high and it's largely been cited as the ratio of admins to teachers as being at least 10:1 when it used to be much closer.
I personally blame cheap gov subsidized credit for this quickly forming trend, which only took ~2 decades to have a devastating effect on students who come out of school without a degree which can somehow pay back such debt (which we in STEM are fortunate and I personally dropped out early).
And there's always corruption and politics where there are humans, be it in the mailroom or the boardroom.