2796641 - Transfer of Direct Reports on Termination is correctly updating the manager but not updating the Position Hierarchy

When using the new Transfer of Direct Reports based on Position Hierarchy on Termination of a Manager feature (ECT-111261).
The Direct Reports are correctly getting updated to the correct manager, but the higher-level position on the direct reports position is not updating.

Employee Central - Position Mangement

ECT-111261, position, transfer, transfer direct report, Reassign Direct Reports According to Position Hierarchy on Termination Screen, ECT-118765, Separation, Higher Level Manager, Position Management, Manager Termination， behavior , KBA , LOD-SF-EC-POS , Position Management , LOD-SF-EC-JOB , Job Information , Bug Filed