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What QBO has done here is not inline with the regulations. It's a half-baked 'improvement' clearly implemented with little forethought and definitely no client feedback.
I'd bet that those of us who have used QBO payroll have already have processes (like a custom pay type) to handle stat holidays .. and having QBO add this as a mandatory and non-removable type just complicates things and causes MORE, not less, work for customers.