Isolation provides a lot of mini "firebreaks" for the virus that slows its spread but, especially in the case of omicron, aren't sufficient to stop the spread. So apart from
"squashing the curve" somewhat, it extends waves rather than stops them.... and with Delta it extended and elongated that wave so remained a feature until the Omicron outbreak.
There's a time and place for squashing the curve (eg health service becoming overwhelmed), but there are disadvantages, for the CEV too.
Elongating waves by suppression measures that aren't sufficient to stop the wave completely risks variant waves running into each other, and for virus levels to remain permanently at levels that someone who is CEV would see as a high risk. Not only is this an issue medically, it's a problem psychologically too, and becomes a permanent feature.
An unmitigated wave will pass through relatively quickly as can be seen both with Covid (in places with few mitigations) and in previous pandemics (the Spanish flu in U.K. had three distinct waves, none of which lasted for more than a matter 6-8 weeks).
The total risk involved in an elongated wave is the same as a sharp wave, just that the latter compresses this into a shorter timeframe. It would be much workable for the CEV to take evasive measures for a few weeks when a surge happened, than to remain (and expect society to remain) on high alert at all time.
Also, the combination of the milder omicron variant, vaccines and anti-virals mean the threat of Covid is much more like the flu now, and very different to 2020.
As a result, I think it's overall a positive thing for those who are CEV for isolation to be removed. Although it may seem counter-intuitive, it will all them to get more back to normal too.