No, the template system is a new mechanic they added to core. Basically you have slots where you can save your EQ selection (clothing + trinkets + weapons), and for traits. For example, you can have a condi set vs a power set, or a spec line set, etc. The eq you're swapping has to be in inventory.

To be honest, I haven't used it much since it came out, since I tend to just pick one build and play it, and I can't be bothered to have armor pieces of different stats sitting around in my bags.

Pretty sure engi is still the forgotten step child tho, just like mes is still the favored child by the devs.