Email forwarding/redirecting not working with O365

I came across an issue where Office 365 email accounts appeared to ignore email forwarding and redirecting rules set up server-side.

Connecting Outlook 2016 to Office 365

Let say you go to connect Outlook 2016 to an Office 365 mailbox. You would go to mail settings, perhaps add a new profile if you already have old mail profiles you want to keep. As part of the process Outlook will proceed to an email address configuration wizard.