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What’s the point of hybrid?

I've seen companies requiring hybrid schedule while the entire team is spread out in different locations 
So what's the point?

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KungFuSoftware Engineer  
Building occupancy. Local state & city laws require company to bring in employees to a certain threshold so that the city can stimulate its economy through transactions like transportation, purchases, services, etc.
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KungFuSoftware Engineer  
Below the threshold, company will not receive tax incentives.
There is also an added bonus that the employees will get less chance to be overemployed
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