She only threatened the jobs of employees (or specifically, partners; she hasn't threatened any rank and file employees, in fact she did the opposite, and I appreciate that) after they'd done something unethical and/or stupid, and the only time she mentioned their personal lives was Donna and Harvey's relationship, which as much as I don't like it is a valid concern when both have a vote. She is not a bitch. However, the other partners having a right to waive conflict for Donna and Harvey because they trust their relationship won't influence how they vote is a good solution.
Harvey, Louis and Samantha have yelled at Faye at the slightest opportunity when she was initiating a civil conversation about firm business, and repeatedly tried to fight her with the same kind of behavior she was brought in because of instead of cleaning up their acts. She had little reason to view them as more than unruly children in the first few episodes. At least now they seem to have settled down and the tone going both ways has softened, starting with Faye and Gretchen's conversation about Louis.