I would like to add another interpretation, especially for paper developers, for which I read the term "soft working" most often: "create a fully developed image with lower gradation".
If I develop a sheet of photographic paper, it starts developing very unevenly, until eventually a full image appears at some gradation. With earlier papers, this gradation could be somewhat influenced by developer choice, and soft working developers would create uniformly developed images with one half or one full grade less contrast than "hard working developers".