I do think this is an even bigger indictment of the interview process. If they're actually more competent in the role and not getting PIP'd and getting promotions, it means the interview was worthless to start, it would filter out a good candidate and pass a candidate who may only know how to do toy problems without any engineering skill.
Maybe a good candidate in this organization is one that will leverage every edge they have to produce a desired result. Resourcefulness and risk tolerance are a potent pair.