Wally wouldn't want to be late. First, just being in a meeting counts as 'work' without actually requiring any effort.
Perhaps more importantly, the best donuts are gone when you're late.
Oh, I think maybe I get it. The "Lateness ... doesn't work for everyone" comment is, I think, like saying "sideburns look good on you - they don't work for everyone," or "skinny jeans look terrible on you, but don't feel bad - they don't work for everyone." Sort of a backhanded compliment, or a bit of cold comfort on top of an insult.