"Why am I able to see the packets on the other VM? How can i stop that from occurring? What I am trying to do is have these two vms on their own subnet, be able to talk out through my work pc. I dont want broadcast from the vms network to reach my work computers subnet."

To my understanding, you have only one subnet in play under your Host, that is VMware NAT. If that is true, then the last of your sentences is odd.

If you want two sub nets to be isolated from each other, you need to have two sub nets. Above, I pointed to this. You need to create a couple of new sub nets, with functionality of your choice. In order to do that, you need to create new Virtual Networks with Workstation Pro and place your two VMs in them. This is the choice with all options available for you.

Or you can just have the other (non-web-browser-)VM in Host-only network and then it does not see your NAT VM, but you don't have any outside network capability either from that other VM, if that is OK for you.

As for your first sentence - in the same network, that is how Ethernet works. Host will see both VMs anyway.