That could be the sailor, but I would bet on the organization and leadership: In many organizations, bearing the bad news just creates enormous work and trouble for yourself, for your teammates, and rarely accomplishes anything.
Rationally, it's absurd to ignore a fire. But I've seen organizations and situations where I would expect it.
Also a former submarine DCA: a sailor failing to call away smoke speaks to an egregious cultural problem in how the crew treats damage control (unless this was an absolutely brand-spanking-new nonqual).
I'd say training more than culture. The response to smoke onboard a ship should be automatic, not requiring any contemplation (even if it's just 'trigger alarm').
Rationally, it's absurd to ignore a fire. But I've seen organizations and situations where I would expect it.