Suppose you open a 16-bit DAPI channel from a kidney section. Between the nuclei the pixels aren't zero. They scatter around some level, high enough that a thresholdLoading... or a mean-intensity measurement picks part of it up. The Engines Reference calls that background white noise: random values with a specific average value and finite variance.
Background Removal sits in a layer's Pre-Processing section, under Add Operations (Advanced). It generates a background model from the input grayscale imageLoading... and subtracts the model from the original. Before subtracting, it smooths the model with a filter whose size is the Background smoothing filter radius.
Object Radius tells it how large the larger objects are, so they aren't taken for background. Tick Generate background image to get the model itself as an extra output.
The reference doesn't say how the model is built. Its closest documented relative is the Top-hatLoading... operation in the Basic Operations Module, which subtracts a morphological opening, "an estimated background", and whose reference example shows an attenuation of the high background. Whether Background Removal uses an opening internally is not stated, so don't tune it as if it did.