I'm not saying these jobs are easy, or easy to get, but yes, they exist, even in this market.
The reality is the biggest drop-off in recruiting is at the very top of the funnel. Your basic phone screen and first technical screen -- before you get to a full panel. Once there you have way more, qualified, applicants than roles. I'm not sure it really matters which person gets the job, and this is one way you can make a fairly arbitrary decision. It's nice because it's within your control to grind some leetcode lol. From the company's perspective it's fair and has limited negative selection risk, and doesn't lead to as many regrettable hires.
If you've got 100 great candidates and 1 role, does it really matter which great candidate gets the job, so long as the selection process is relatively fair and uniform? From the company's perspective, probably not.
Since there's no feasible way to select the local maxima, the second sort is consistency.