Sure, you could be idealist and say that everyone should be judged on their own merits rather than a scale. Some companies don't have ladders. Out of big tech Netflix probably lasted the longest. And then they caved in [1]. Understanding why they finally decided to do it might highlight the practical considerations of why companies have ladders.
Also from what I am able to gather OP is a white dude. That's fine, but we shouldn't underestimate how a job title helps people from underrepresented groups. For a sampling read some of the interviews at StaffEng [2].
[1] https://blog.pragmaticengineer.com/netflix-levels/ [2] https://blog.pragmaticengineer.com/netflix-levels/