For some reason I can't find the "race card" episode, where for awareness training Michael Scott makes them all put up different cards with different races (although a couple of them are Italian, and Indian) on their foreheads that they haven't seen. They're instructed to guess what their card says based on the "charades" they do of one another's races. It was painful to watch.
Yeah I've seen that one. I think it's the 2nd episode. Yes, very painful to watch. But that's whole point isn't it? The social trainwreck, yeah? And "playing the race card" is a short-cut to that.
As for the Diwali song that's pretty tame.
I had a middle management boss who was a social trainwreck too... Nothing overtly racist or sexist - just not very good at managing people and their expectations etc. And he had a flair for the "theatrical" let us say..
But a lot of it is to do with ordinary people being thrust into these artificial hierarchies (and positions of authority etc) which create these absurd situations. It's become trite to say "the corporate system is flawed" but that's why these shows exist: to critique it and show us how it's flawed in an entertaining, dramatic way.