Tell the truth to people in the interview. Stop painting a picture that you all work hard & play hard. Stop lying about work life balance when you really expect people to stay glued to their ancient desktops all day.
Nothing is positive about the work environment. When you are being watched by HR & I.T, who taps into your computer, it makes you very uncomfortable. Why hire people of you don't trust them. Your turnover rate with constantly be high of you continue to treat adults like babies.