People who can do leetcode challenges are only roughly correlated with great engineers.
The more I learn about software development the more I try to _not_ have leet code style parts in my code - in the very rare circumstances would I see something like that and say - yes there is _no_ other library out there that has a battle tested algo to solve this particular problem, _and I have to code my own_.
Worse people who excel at Leet Code could start to bring that sort of thing into your codebases, optimising small parts of your code to perfection, and then leaving the whole thing a mess or just plain reject to work on solving business issues and concentrate on polishing their small bit of algorithm.
Of corse there are positions where that sort of mindset is welcome and sought after. Especially in very big companies, but for the most developers out there leet code is _just_ for the interview part and they would (should) never use that kind of problem solving in their day-to-day work.
When I have to interview somebody, and there's leet code involved:
a) they are _really_ comfortable with those types of challenges - that tells me they have spent a lot of time preparing - either for this interview or just generally, either way that wouldn't _really_ tell me much about their problem solving skills
b) they feel uncomfortable and fail to solve anything due to stress or anxiety - again no really knowledge gained, as real-world work environments tend to try to minimise those, at least in the places where I work in.
c) they feel uncomfortable but get the hang of it - now I _might_ have a glimpse of their problem solving skills, but I've put a human being in a very uncomfortable position just to _test_ them. There _has_ to be a better way.
The way I like to conduct interviews where possible is to ask people to walk you through some of the code they've written and ask various questions about decisions - much more relaxed and I still get the sense of how they organise their stuff and how they work.
If that's not possible - a take home task or something. Or even "hire fast fire fast" approach works too.