"Out of face, out of mind", basically. Also, if a company has a fixed cost for their office space, then it makes sense to reduce costs in employees that do not

"Out of face, out of mind", basically. Also, if a company has a fixed cost for their office space, then it makes sense to reduce costs in employees that do not require that fixed space's cost - so you can reduce cost via headcount and not have to worry about paying for unused floorspace in your fixed cost office.