What's the big deal with...
Airline employees sitting in first class? This has been mentioned as a "problem" in almost every airline board. Personally, I don't see much of a problem with it. After all, they do WORK for the company, It is just like someone who works at a restaurant getting free food.
Granted, it MAY take some seats away from the upgrade pile. But I think that the employees DO have a right to sit up there, so long as some seats are left aside for customers.