Has to be a bug. A) Product/Service code and the description of Product/Service code is all that will populate. So, for example, if you had only 'Sales' listed as your product/service code and you code all of that employee's time to Sales; this QB will create an invoice for you showing 'Sales' and the hours, rate and amount. It will not tell the customer who you are billing for. In my case, I have to now add the employee's name to all of the description boxes in my Product/Service codes. And all time that has already been entered, I now have to edit every single transaction line on the invoice so that it will pick up the name. 

B) Under the gear icon, when you customize the invoice in Content, the option to select the employee name is still there. If they were completely removing the option, they would have removed it.

C) The employee name has always been inserted after the dash mark (ex: Sales - Kim Smith). The dash mark is still appearing on the invoices, just not the employee name (ex: Sales - )