Some people can't afford to go to a fancy school and don't have big companies come recruit on campus. Some people can't get certification or evening degrees because they have sick parents/kids to take care of. Some people can't do unpaid internships or make open source contributions that look good on their resume because they rely on the income from a job in retail. Some people can't do well in interviews because they have anxiety or other similar conditions.
I'm sure a lot of them are competent developers, but the reality is that there is no good selection process that tells you that with a good degree of confidence, so you have to look for other signals.
I don’t expect students to code outside of class. But I also believe students who don’t code outside of class shouldn’t expect to get a job just because they have a CS degree.
And your last statement makes no sense. If you don't expect students to work after work, then don't follow it up with the remark that you'd see them jobless.
I would argue that all of these things have been much more helpful when finding work and interviewing than having Github commits.
And when I'm the interviewer, I certainly don't care how many Github commits someone has. If a new grad can't show me that they have experience working in a team of some description then it isn't going to work out.