Badge swipe reporting has been available since at least 2018, when it was used for capacity planning in buildings and who got a fixed seat vs an unassigned seat.
Currently, badge swipe reporting is available in a self-serve tool to managers. there are summaries for every manager all the way down the chain, plus color coding R/Y/G for percentage of staff coming in 1 day or less on average per month. the current reports don't reflect login data, but that is available for a deeper dive if there are special circumstances - like someone disputing badge data, etc.
There isn't a central department enterprise wide monitoring - these are reviewed from OC down. Whether you're actually seeing it or not as a manager depends on how far down you are from OC and the degree of enforcement and/or jawboning that's happening in you business unit.
To answer the OP's Q about what will happen - there is written guidance to managers that for 2022 it is allowed to be considered as one factor in rating or bonus (if applicable).
For 2023 it gets stricter. managers are supposed to follow the performance management/discipline process - which means first - conversation with the person, and securing agreement on a date by which they will comply (documented in workday). if no compliance, or refusal to agree to go back, then it goes down the formal path of warnings, and then ultimately termination.
The focus right now is on those going in 1 or less days per week on average.