I think it's just people defining loophole differently. In our minds, it sure sounds like some unintended trickery to get around a rule. I think OP is saying that it was known and intentional. Is it still a loophole? By definition, I think it is, but not how it's usually used.
I was working a Chrysler when this went down. I was in the room for some of these meetings.
But, you believe whatever you want. Everyone involved knew exactly what was happening. There was no “oops, we didn’t know that would happen loophole”.