My thoughts exactly. Even if software devs still maintain a better than average negotiating position, companies continue to have the upper hand and it's just going to get worse for a while.
I think inside of five years 9 out of 10 people who work from home today will be back in the office. Against their will or not. The company just doesn't need most of us more than we need it, and that won't change. I think a lot of people in the IT field right now just haven't been around long enough, so they think the current employment environment will continue indefinitely. The last 15-20 years have been pretty good, but they are almost certainly the exception.
There are more jobs in tech than people to fill them, places are always hiring even if FAANG is laying off. One day that dynamic will change, it hasn't yet.
We are heading into a recession (if not there already). As the strong labour market deteriorates, this power imbalance will shift back to managers.