Yes, I agree. In this situation, I think I also know some of the reasons for the pathology. It's a 'family run' business! On the surface that seems great and cozy, but my experience, and what I've read is that such businesses are often dysfunctional, with blurred boundaries. This can be really difficult to deal with.

Lacking respect for the boundaries and not seeing individuals as separate is very detrimental. Healthy boundaries feel good and are necessary, even when they can be very difficult to assert. I've learnt the hard way!