It's highly relevant to getting a job on a software team, but only because most teams are assembled via interviews, and verbally relating stories from your past in a face-to-face meeting is the most effective interviewing technique.
And it's relevant to a job like sales. (That's unsurprising because a job interview is actually a sales meeting.) And many management jobs do have a sales aspect -- you have to justify budgets, sell work inside the company, et cetera.
But if explaining our work to outsiders were a particularly important or routine skill for programmers, we wouldn't be so bad at it. And, on average, we are bad at it. Because our actual on-the-job communication, which we practice all the time, is largely written and asynchronous, taking place on media like Slack or Github. It relies on plenty of job-specific shared knowledge, domain experience, and jargon, and it all happens in the shadow of a job-specific shared codebase that is supposed to speak for itself -- the whole point of software is to build something that works by itself -- but is also perpetually unfinished.
There are social skills that are important to have on a software team, but it's difficult to judge them in an interview. Interviews are staged events.
Challenging a candidate to defend a resume in an interview is like asking them to do improv comedy, and selects for many of the same factors: Verbal gracefulness, comfort in the spotlight, the ability to seamlessly change the subject, and the amount of time spent in rehearsal. Good candidates rehearse their resumes. We get to write them ourselves, after all, and with practice we learn to design them with hooks that lead into our best material.