We did send out cases to the lab, but the students had to do a lot of the typical dental school lab work (e.g. setting teeth and festooning for dentures, die trimming and ditching for crowns, etc.). I'm a rising D3 so I don't really know the details of how it used to be, but I know it used to take up a lot of time for D3s and D4s.
From what I hear we don't do much lab work after we graduate so it makes sense that they're having us focus on things we will actually be doing as dentists.
I really appreciate how flexible my school has been with all of this.