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"One of my coworkers is EXTREMELY capable but functionally almost illiterate."

I cannot imagine what it means. To me it reads like "I know someone who can run very fast but has no legs."

Capable doesn't mean capable of office work though, I could see someone with a language disorder doing electronics and have trouble with words, not numbers. Or someone who has trouble with written words specifically doing most of their learning with classes and videos.

Exactly right. The individual in question produces excellent deliverables within their space. They, the coworker, are very good at receiving inputs, but not very good at outputs (other than their deliverables). In a way, it's like having an offshore worker who speaks almost none of your language but can understand it and produce good work.

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