The machines have filters to recover and recycle the coolant. They might also have augurs to carry chips out of the machine.
The coolant can be topped up periodically between shifts as needed, when the waste chips are collected.
At scale, these things can be automated even further. For medium sized shops it's easy to pay someone for a couple hours of labor to do it every few days.
There's even cuttings bits that have integral cooling (holes in the cutting surface).
We had a problem where one of the integral cooling loops had a tube come off and it sprayed the better part of a 50 gallon drum of coolant all over the shop before someone got over and hit the e-stop.
And sensors that are reliable and durable cost $$$$.
Fancier machines will have a hollow spindle and can actually force the coolant through an also-hollow tool, so it emerges right near the cutting face. The simpler approach just uses a nozzle pointed in the general direction of the cutter. In between, there are programmable nozzles....