Earlier quoted context omitted.
To give a counterpoint, the lack of basic algorithmic knowledge of a developer in my team cost us a nasty production performance bug. I agree that whiteboard algorithms are not exactly our typical day work, but I'm fine with them being "foundations", things at back of your mind and you can conjure when needed.
If a single developer was able to cause a 'nasty' anything, your engineering process is completely wrong. It should have been caught at architectural discussions. It should have been caught during performance benchmarking. It should have been caught at code review. Didn't do any of those things? Don't blame the developer. No single individual encompasses all knowledge required to adequately address all of your tasks.…
The developer writing the correct implementation was just the earliest point where it could have been avoided in this case, I didn't want to frame it as the developer's fault, but simply wanted to say that some algorithmic knowledge still comes in handy.
My original comment wasn't clear enough about this I confess.