Yes, that's oh-so typical of them.
I was astonished that I got a new system at all, all it took was a couple of years worth of bluescreens. Part of my problem was the old so-called IT guy had the temperment of a 7th-grader and would withhold help, software etc. depending on his mood that day. The new guy has a much better personality but we are discouraged from so much as speaking to him while he's here because he charges by the hour. So needless to say asking for help is not really encouraged.
Okay, so I have fished around where you suggested, but seeing as how it's apparently saving a backup copy even though the little box isn't checked (and I checked and un-checked it just to make sure), I don't see any other solution except maybe to route documents straight to the recycle bin by default.