No, the Library Folder is not required in the repository and it should not be checked in.
You do not need to include your Library folder in the code repository, as Unity Build Automation automatically generates the Library folder when it processes your project for the first time.
Note: Library caching is activated by default to improve the build speed after the first checkout. You can disable Library caching in the Unity Build Automation options if it causes problems.
For more information on why we advise library caching, see Why are my build times on Build Automation taking so long?
For more information on publishing builds, see Publishing Builds.
For more information about Library caching, see this forum post.
For more information about the Library folder, see this forum post.