The Passcode profile lets you configure device level passcode or a passcode that applies only to the Work Profile on Android devices.
The Work Profile passcode policies apply only to work apps so users do not have to enter complex passwords each time they unlock their device when enrolled with a Work Profile. The Work keeps corporate app data protected and allows end users to access personal apps and data in any way they like. For Work Managed devices, this passcode policy applies to the device. The Work Passcode is available on Android 7.0 (Nougat) and above for Work Profile enrolled devices.
The Device Passcode policies apply to the whole device (enrolled with a Work Profile or as Work Managed). This passcode needs to be entered each time the device is unlocked and can be applied in addition to the work passcode.
By default, when creating new profiles, only the Work Passcode is enabled (Device Passcode is disabled). The admin has to enable the device passcode manually.