What exactly does a web developer do with the work that a web designer created?

Hi everyone, Here is a link to an instagram video featuring a web designer creating the front page of a website through photoshop.
https://www.instagram.com/p/CGxcjUpD4ei/
Obviously this is a single image so it is not interactive whatsoever.
I have three questions:

What does a web developer do with this? Do they literally just create an entire functional website that is an exact replica of this design or what?

if so, is there any way on how to just add individual functionalities to the single image itself or do they need each individual parts to it (example, the individual home logo, the individual pineapple picture, etc) and then they put everything together through code

do you need to have web design skills (essentially that aesthetic eye) to get a job as a web developer in todays world? I am aware that at most companies, the web designer just creates a blueprint and hands it off to the web developer so in this case, you do not need design skills. but since todays job market is so competetive and most people apply to jobs with their portfolios, id assume the only way to get replies back is to have your portfolio stand out compared to the rest. So in this case, the design will matter a lot. So even if you dont need design skills in the real world (the designer will just do it for you), how are you suppose to get that initial job if part of your portfolio is judged based on appearance.

Hopefully these questions make sense, would clear out a lot of confusion if I could get these answered. Thanks to everyone for any feedback I can get!

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