What kind of toxic behavior does it create?
As an occasional PUG leader, Autoband helps me a lot and haven't noticed any toxic behavior. Blame the leaders for setting up options that annoy you. The only things I've noticed are people getting kicked by range (is annoying) or people not being allowed in an 8/8/8 WB because your role is already filled (also annoying but understandable). I suggest two things, don't group with WB leaders that use options you don't like and/or create a WB yourself.
I definitely don't want a closed WB, people jump in and out of a PUG WB all of the time, it's enough of a burden to make sure group composition makes sense. I do not want to handle invites as well. This is one of many reasons most leaders would just prefer to run small 6-12 WB with guildies only.
Regarding 8/8/8, I enforce only 1 tank, 1 healer, 1 DPS per group. You can get some really weird compositions, even with that. Sometimes too many tanks (we had to slot healing tactics). And then in the same WB we had too many healers (one group had 4 healers). I've never had too many DPS so far. It's all good and makes for interesting game play, but it definitely makes things harder. Some like it more optimal and cookie cutter, which is fine, it's easier that way.