If a company pays me $200 an hour to write children's stories and then at the end of the day burns all the stories in front of me it isn't me who is stealing from the company, nor is it necessary that I write high quality stories for them.
As long as I don't talk about Bruno I'll be fine.
Is that a reference to something known?
https://www.youtube.com/watch?v=bvWRMAU6V-c
Haven't seen the actual movie though, so don't know exactly what the deal is with Bruno.
An individual employee can rarely abuse a large corporation more than the corporation can abuse the employee.
If OP is in this situation, then the corporation is fine with what's happening, presumably for other reasons (could be even to keep him from a competitor's payroll).
As a (somewhat lowly) individual contributor the worst case scenario of an individual abusing a large enterprise was probably Jérome Kerviel ( https://en.wikipedia.org/wiki/J%C3%A9r%C3%B4me_Kerviel ) and I personally kind of believe in a conspiracy where he wasn't actually working alone, considering the amount of things he managed to do, so he was most likely a scapegoat. And even that worse case scenario lost Société Générale "only" €4.9 billion, for a company with a yearly revenue of €24 billion.
Meanwhile the worst case scenario for abuse the other way... is death. There are many, many documented cases of suicide due to overwork and similar abuses. Foxconn was literally installing nets around their office buildings to catch people jumping from the windows.
From the employer side there are sometimes considerations why to keep someone around. Could be morale, regulations, keeping resources for something legacy or something in the future, etc.
Your response sounds slightly like the one professor in my department who screamed out pirating your overpriced books is stealing while every other professor in the dept. told us to pirate our books or simply handed out flash drives with the pirated books on them.