When something is frequently used incorrectly, there is a tendency to simply advise people not to use it at all. There is a certain logic to this. If it is too hard to get people to do something correctly, the lesser of two evils may be that they don't do it at all.
Passive voice is frequently used incorrectly, and so the advice is often to avoid its use altogether. This does not mean that there are not places where its use is correct and appropriate. It just means that many who give advice on writing have given up trying to teach people to tell the difference.
The problem is, of course, that the people who can't tell the difference between using passive voice correctly and using it incorrectly also can't tell the difference between passive voice and active voice. Thus we can excuse Word's overzealous grammar checker for pointing out all cases of passive. They are not all incorrect, but at least the writer can now see were passive is used, and deal with it as their ability allows.
We should also note that the war on passive has a lot to do with where most of the current writing advice came from. A great deal of it originated with books like Ernest Gowers Plain Words, which were written specifically for civil servants, to try to get them to write in a way the general public could understand.
The besetting sin of civil servants and politicians it the desire to avoid assigning responsibility. This gives them a particular love for the passive voice, since passive voice can conceal the actor.
In the active voice, you can't avoid naming the actor: "John kicked the ball through the window". In the passive voice, you can avoid naming the actor: "The ball was kicked through the window". We often choose passive specifically to avoid naming the person responsible for the action we are reporting.
The advice to civil servants to avoid passive voice was therefore more than mere stylistic advice. It was an attempt to get them to name the actor. It thus had a measure of political force behind it. It was not just about style, but about courage and honesty. Thus the avoidance of the passive has come to have a higher status among language laws that it really merits on purely stylistic grounds.
There is nothing wrong with the passive voice when used correctly. "Don't conceal the actor" would actually be a far better piece of stylistic advice to give to civil servants and to writers generally.