I was wondering if it were a male instead, if you'd be so gun-ho about it if the requirement would have been for him to get...hair transplant or a hair piece!
Tangent, but you're post reminded me of Eddie Murphy's famous Saturday Night Live scene where he proudly goes around as an immigrant announcing in a thick accent, "I have hair piece! I have hair piece!"
Which of course sounded like he was saying something else.
IMHO the ruling is correct, employers need discretion, but this company should also be held up to long and sustained public scorn. It is a stupid policy. Creepy, in fact. A little makeup goes a long way, and if I drank I would prefer not to be served by someone painted up like a drag queen.
I know that your comment wasn't directed to me, but if I was in a service / entertainment industry job where appearance mattered, it would be OK with me.
Ditto for a requirement that guys hit the gym on a regular basis.