It's definitely intended to be a tight fit (bushing compresses) and then reamed to exact tolerances. The deform process is what holds it in.
The same principle is at play for the rocker arm bushings if you've ever done them. You have to ream them out with an adjustable ream after installation to get them back on the rocker arm tube. With those, you get better oiling with the precise tolerance, and I expect it's the same with the axle bushings: the more exact the fit, the better the oiling and the longer the bushing lasts.
You might get by with a speedi sleeve on the axle, but if it isn't a precise fit, you may end up with the same leakage you have now. On the other hand, using a brake hone like Cruiser Nerd and I did may be no better than that.