This problem is happening across Windows 11 21H2, Windows 10 version 21H2, Windows 10 version 21H1, and Windows 10 version 20H2. When Windows starts up again after a reset files and folders remain even though the reset should delete them. Microsoft explains the issue in its bulletin: “When attempting to reset a Windows device with apps which have folders with reparse data, such as OneDrive or OneDrive for Business, files which have been downloaded or synced locally from OneDrive might not be deleted when selecting the “Remove everything” option. This issue might be encountered when attempting a manual reset initiated within Windows or a remote reset.”
Local Only
It seems this problem is a local files-only issue, so files held exclusively on the cloud are not affected. Microsoft says anyone resetting their Windows can currently expect downloaded and local files to remain one restarting the OS. However, the company does offer two workarounds for the problems:
This issue can be prevented by signing out or unlinking OneDrive before resetting your Windows device. For instructions, see the “Unlink OneDrive” section in, Turn off, disable, or uninstall OneDrive. This issue can be mitigated on devices that have already been reset by following the steps in KB5012334—Delete the Windows.old folder using Storage sense in the Settings app.
It is worth heading to Microsoft’s official page for all the information about this problem. The company says it is working on a fix but does not offer a release timeframe. Tip of the day: Tired of Windows´s default notification and other system sounds? In our tutorial we show you how to change windows sounds or turn off system sounds entirely.