Promotions at TCS Linked to Return to Office - Justified?

A friend working at TCS informed that their company has now set several conditions for salary hike and promotions. One of the key requirements being compliance with the RTO (Return to Office) policy. It's also known as BTO (aka Back to Office).

I wish to know from my fellow CEans whether TCS is justified in linking employee performance to the place they work from?

During the COVID times, several teams got split up. Teams worked from different cities. I wish to know how is this relevant to the output employee is offering?

Judge the employees based on their output, not the place of operation. What do you say?