I work for a city that constantly preaches sustainability, sends the mayor and council people to climate conferences, and is even buying fleets of electric vehicles for city use.
But we office workers (engineers, attorneys, accountants, HR, etc) have to work in office 5 days a week. Why? Because the city wants to encourage in office work because they decided to raise most of their revenue through local income taxes, which mostly hits commuters from the suburbs.
Of course, most companies don’t care about the example the city sets. If anything, the 2.5% tax is a massive incentive to keep working from home.