In my example I'm talking about a seed stage startup where the engineer being hired is going to be a critical part of the team and has relevant experience. No board, no major dilution yet. Don't get me wrong, 2% is much more applicable than 5%, but I don't think 5% would be unheard of.
A month ago I talked with a founder of a company with a huge angel round in the bank looking for an experienced technical lead, and he was very comfortable giving ~2-3% equity for it (smart guy!).
Perhaps 0.5%-1% is more common, but that doesn't mean you should take the job at that level. I was answering the question of what this type of hire is worth, not what they commonly get.