This is a common perception among people in the workplace. The whole employer-employee relationship is like a minefield. There are numerous federal and state laws that govern how one must treat an employee. These include the Civil Rights Act of 1964, the Equal Pay Act of 1963, Executive Orders 11246 and 11375, the Federal Age Discrimination of Employment Act of 1967 and so on. Most of these laws are in place to prevent an employer from treating women and minorities differently from other employees.
All employees are to be treated equally.
Of course, equal treatment is often in the eye of the beholder and thus very subjective. The various laws, while no doubt helping many employees achieve their deserved rights, often make for a strained relationship on the job. All of these issues make it more difficult to be an employer these days. If materialism drives an individual, then there will be nothing that is unacceptable. Honesty will be used only when it helps achieve the desired result.