Another Millennial here, so take that how you will, but I agree. I think that Gen Z is very tech literate, but only in specific areas that may not translate to other areas of competency that are what we think of when we say “tech savvy” - especially when you start talking about job skills.
I think Boomers especially see anybody who can work a smartphone as some sort of computer wizard, while the truth is that Gen Z grew up with it and were immersed in the tech, so of course they’re good with it. What they didn’t grow up with was having to type on a physical keyboard and monkey around with the finer points of how a computer works just to get it to do the thing, so of course they’re not as skilled at it.