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Because working from home isn't an option for everyone.
I'm in a manufacturing plant. The people I support work in the building. Not just the people on the line bringing up drawings and instructions; not just the warehouse people moving inventory; but the engineers who have to support the assembly process and the quality control types who have to check each step in the process. Design work can be done from the house, but that engineer has to come see if what he came up with can be built on the existing equipment.

Personally, I wouldn't work from home even if my job was suited to it. I can't get in a working frame of mind at home. There are too many distractions and excuses to do other things.
Updated - 12th Jul