This used to be a standard way for the British Civil Service to get rid of staff in London. "Your job has been moved to Glasgow". You can't object because it's in your contract terms that you work where you're sent. So you resign.
The Japanese call this "madogiwazoku" - the Window Seat Clan. Unproductive or disgraced employees are given a sinecure, and all they basically have to do all day is stare out the window. To a Japanese, this would be equivalent to Hell.
Believe it or not I know of this happening in companies I used to work for here in Australia. Management wanted to get rid of people put did not want to pay redundancy packages, so they sent them to this mostly empty room with a desk and chair and PC/phone, where they were meant to sit all day long, "working" at applying for new jobs elsewhere.. or quit from utter boredom.
One legendary fellow sat in the room for 6 or 9 months or so (can't quite remember) and yes management caved before he did and he eventually got a package.