It's an extension of the "butts in chairs" management style that's all over in America. When the managers are unable to actually measure output due to incompetence + lacking the ability to do the same job as their subordinates this is one of the few levers they get to pull. It's a management style of fear and dissonance where the workers are constantly being judged not based on merit, but on useless metrics and butt kissing...
In contrast - I've worked for managers that could care less about "butts in chairs" and are much more concerned with output/quality... this means they have to be actually productive/knowledgeable in my field which typically is an exception - especially for larger corps. I personally find my mental state is so much better and my output is magnitudes greater when working with this management style!
The other thing that's great about output based managers is that the bad-to-mediocre talent/work ethic folks get weeded out ASAP because it's apparent who can't cut it vs. higher output workers. "Butts in chairs" workers are good at gaming the optics + politics regardless if it's surveillance software or someone complaining about being in the office for X hours a day/week.
All-in-all I agree with your statement.