I've noticed a correlation between that and insanely low pay or horrific working conditions, or a crazy disconnect between demands and the requirements.
"I don't understand why none of the applicants can explain the details of why one BGP route is preferred over the other" -- says the guy trying to hire a CCIE for $50K at a dying utility company.
"Well, sure we pivot every month and require 80 hour super high pressure work weeks and the runway ends in six months but aren't all companies, everywhere, on a perpetual death march?" -- says the guy who doesn't get any fizzbuzz-able applicants
"I can't find any applicants with PHD level programming skills and encyclopedic knowledge of algorithms who have written a widely used LISP and/or hold a Fields math medal and/or a Nobel" -- says the guy complaining about getting no serious applicants when trying to hire for an entry level CRUD shoveler, upon being told everyone's unemployed so he should aim high.
But I've also done interviews with no coding at all.
Point being, nobody is going to hire on FizzBuzz alone, in fact I would hatch a guess that most companies don't use it as a problem anymore given its prevalence.
That's exactly what we see with the Fizzbuzz phenomenon, with every interviewer complaining that no applicant can do it, but everyone tripping over each other (including hobbyists and beginners) to say how easy it is, so "where's my job?"
I saw it too with professors and employers who blog, complaining that applicants and students can barely put together a sentence.
Where meets the twain?