As someone who's both worked as a teacher and as a software engineer, my feeling is that what happened in reading education is roughly what engineers' jobs would be forced by their CTOs to use software methodologies and languages that came from their university professors who've never really spend much time (at least not in well over a decade if at all) doing actual salaried software development where code had to be…
Both of my parents learned to read at home, in poverty. Both had educated parents, who had been displaced by the events of the era. I learned to read at home. Both of my kids, likewise. It didn't even remotely occur to anybody in the family that learning to read was special, or that there might even be any way to teach it other than phonics. English has a phonetic alphabet after all, right? Moreover, learning to read…
I would like to say that English is most definitely not phonetic. But this is not really true. In any particular word, there are usually some phonetic landmarks. If there are enough of these that you can identify you can try to use them as fingerprints against your entire oral vocabulary filtered by context to identify that word. Then you rote memorize it.
As I write this I'm listening live to a British person saying things like "no-us" and "repo-uh" (I don't know phonetic symbols well enough to represent this properly). I understand these words to be "notes" and "report" in very much the same way. I pick out phonetic landmarks and filter my vocabulary by context to find words that have matching landmarks. There is an American in the conversation using words like "thanegs" which I understand to be "things" because "thanks" doesn't fit in the context.