Can I use the WD Passport to back up multiple laptops?
Yes, but you will need to set up two separate partitions on the WD Drive, one for the Big Sur Mac and the other for the Mac running High Sierra.
For example, say the WD Drive has a capacity of 2 TB. You would set up one partition of 1 TB and the other also as 1 TB.
The reason......Apple changed the format of the internal disk on Macs that are running Big Sur to a new type of format called APFS. So, the Big Sur Mac backs up to a hard drive formatted as APFS automatically on the first backup to match up the format of the Mac's hard drive with the backup drive.
Older Macs used a format called Mac OS Extended (Journaled), also known as HFS+, so Time Machine backups on older Macs were automatically formatted correctly for Macs at the time.
IF......you had already been backing up your High Sierra Mac to the WD Drive......then......Time Machine on the Big Sur Mac would have likely gone ahead and set up the Big Sur backups using the older Mac or HFS+ format.
Not recommended though, since the Big Sur backups would be stored on a hard drive that is formatted differently than the internal hard drive on the Big Sur Mac. That's bound to result in a conflict at some point with future updates to Big Sur.
If I were gong to do this, I would set up two separate partitions on the WD drive and format both the same way in Mac OS Extended (Journaled) or HFS+. The High Sierra Mac will back up automatically to the partition that you choose, and the Big Sur Mac will automatically reformat the other partition as part of the initial back up process. You don't really have to do anything.....let Big Sur / Time Machine set up the backups automatically.