My workplace is like this too! There have been a couple times employees have been disciplined, even fired for a pattern of using the wrong pronouns or deadnames. And not just once. Once is a mistake, these people were doubling and tripling down. Idk where they got those people, but it's always a pleasure when the trash takes itself out!
HR software, though, especially Microsoft products, are fucking terrible at managing name changes and pronouns.
A few months ago I had to work one-on-one with a colleague in another department who I hadn't met yet. I ended up (unknowingly) addressing them by their deadname because that's what was showing for me in MS Teams. I was absolutely mortified, and apologized profusely as soon as I realized my mistake. My co-worker was very understanding but sadly this was mostly because it had happened to them multiple times already.
Turns out a bunch of us had (and continue to have) this "display" issue where a wrong name or image is shown, and the only "solutions" are to have all employees simultaneously delete hidden local caches and hope for the best, which is absolutely ridiculous, or just wait indefinitely, do nothing, and the data will magically sort itself out somehow. MS, true to form, claim that their perfect software, sculpted by the hand of God himself, is "working as designed" and that these things are not a big deal.
It took months to get the person's name change fully propagated everywhere. Somehow, their deadname STILL randomly pops up from time to time, like it's being pulled from some unknown stale DB copy that didn't get the changes, or stale cached data is flowing back into a DB somehow? Either way, a database containing employee data which is supposedly an authoritative store of truth, and mostly a collection of short strings, is not supposed to work like that, right? Since it's Microsoft, though, they can just ignore the issue, gaslight us, and continue getting away with causing humiliation. ADP as well is not far behind when it comes to data handling competence.