Does this situation qualify for an exclusion under IRC 119 and 132? Are the meals considered property or services? What are M's tax ramifications?

M has been a waiter at Chili's for 4 years. Chili's treats its employees well, allowing them a 60% discount for any food they buy and consume on the premises. In 2021, the value of the discount for M amounted to $2,500 for days which he was working, and $1,500 for days when he was not working buy still stopped by during mealtimes. The average profit that Chili's earns on a meal is 25%. There is no requirement that M eat at Chili's during his breaks and some days he does and some he does not. Fortunately, there are a number of other restaurants nearby. Chili's is adequately staffed so its not as though M needs to stay there to be on call for emergencies.