Yes, there are a lot of people working in places in Sydney other than the CBD, and yes, a much higher proportion of those people drive to work.

And yes, there are still enough people who drive into the Sydney CBD in peak hour, to cause massive traffic (and to keep the carparks, aka parking lots, being very lucrative businesses!). Nevertheless, they're a minority - more than 75% of people commute to the Sydney CBD on public transport [1].

Also, re: traffic from Balmain in peak hour. Plenty of places you can be going to, eastbound on the Anzac Bridge, apart from the CBD! I'd say a significant number of those drivers would be heading north of the harbour to work (eg North Sydney, St Leonards / Crows Nest, maybe Chatswood, maybe Macquarie Park), and they'd be bypassing the CBD thanks to the Western Distributor (could also be connecting to Cross City Tunnel to eg Bondi Junction, also Eastern Distributor to Randwick / Waterloo).

[1] https://www.transport.nsw.gov.au/sites/default/files/media/d...