More likely they don't want to fund more redunancies and want employees to leave.
There is always some trade-of, but I thought covid time proved that actually working from home even partially was equaly or more productive. Some people work more efficiently from home, using less productive timeslots for free time activities, rest and family, but giving the high focus work time even outside work hours (nobody from work calls you in the evening). In the office with full teams it's always a lot of chatter, lot of distraction, lot of interruptions, so it's hard to find real focus slots... People who don't want to work fully, will not work fully no matter where they are. Funny like if you sit 8hrs in the office but do nothing, nobody says a word, but if you are 10 mins 'afk' while wfh, you are immediately in trouble... Imo the hybrid model is the best for sw companies, meetings and brainstorming are always more efficient in person...