Absence of events does not mean that there is no threat. Like it or not Sept 11 rewrote the playbook here.
The issue is trying to put it into legislation, then curve balls come up, and everyone flees to the safest option. What would be the reward for the manager when the rules were grey and old mate was just let go in a fit of common sense? No financial reward, nothing. Not even a pat on the back, or a Rolex. There's only pain if in the 1,000,000 change something went awry. Why would you risk your job making that decision? The only path is do what is the safest. Even if it makes no logical sense.
Blind compliance is the way of the world now.