Could have been true a long time ago, not now. Today DSA solving is like JEE preparation. I have seen many new joinees, from other companies and also freshers who are really great at solving hard DSA questions but don't know how to read code, unable to understand where to look in the code, can't properly debug code, unable to understand design documents and implement it correctly.
As they spend more time with DSA they have forgotten to be curious about software itself nor do they ask the right questions, or solve the problem objectively by breaking it down properly. It usually takes a lot of hard work to train people on tools and technologies, but training people on how to think or solve problems apart DSA is much much harder.