There's a divide between Engineering a system, and implementing it in most other fields. We're now facing the situation where LLMs have artificially accellerated the trend we were already on, towards a professionalization of the art of Software Engineering. The title inflation of most of the programing jobs being incorrectly labeled as "software engineer" has obscured this trend.
The demand for actual Engineering skills won't go away anytime soon. The thing about Engineers is accountability and responsibility. If you're responsible for outcomes, you must exercise authority over the process. This gives you bargaining power for wages, which FAANG and others don't want you to have.
The delineation between programming and software engineering is arbitrary at best. Everybody understands the "engineering" in software engineering has nothing to do with other certified engineering practices, so the hair splitting here strikes me as mere gatekeeping of titles. Responsibility and accountability for outcomes have always been a requirement regardless of the title.
Probably worth clarifying with GP what responsibility and accountability they’re referring to.
Where I live, if an engineer signs off on a bridge design and the bridge personally collapses, they are personally liable for harm done to folks on the bridge. As far as I’m aware software engineering does not have something like that.