The job of a software engineer has always been to turn a real-world idea or problem into a precise specification a computer can execute.
That specification used to be assembler, then higher-level languages like C and Python. Now it might be detailed Markdown files that AI turns into code.
So our understanding moves from the C/Python level to the Markdown specification level. We still need to understand exactly what we're building and why.
The hard part was never translating the spec into machine code. The hard part is defining the right spec. That is still the job of the software engineer.