Rubbish. Coming out with comments like that are nonsense. Why did it fail? Is there a chance to other one is about to go? Have you got a fire? etc.etc.
Saying that all engine failures should only be a PAN is nonsense. It is the commanders decision at the time and none of us should second guess it. You do what is appropriate at that time. If that means you chuck in a MAYDAY, then so be it.