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This setting is probably answer of your question.
If [Default Action For Inactive Users] is set to [Enterprise Wipe ...], enrolled devices assigned to users who are disabled in WS1 UEM (inactive in your directory service) are automatically unenrolled.
I think the setting in your environment is set to [Restrict Additional Device Enrollment].
Ah yes, that's the one thanks!
Hopefully they can update the doc to mention this dependency.