Adding or removing a label called ~"non-confidential" via quick action will wrongly show the issue as confidential visually

Summary

Adding or removing a label called ~"non-confidential" via quick action will wrongly show the issue as confidential visually

Steps to reproduce

0. Create a label called ~"non-confidential"
1. Add or remove the label created above in an issue via quick action

Example Project

gitlab-jh/status-reports#18 (closed)

What is the current bug behavior?

The issue will suddenly show as if it's confidential, but it is not. Refreshing can fix this visual issue. The issue wasn't suddenly marked as confidential.

What is the expected correct behavior?

Since the issue is not confidential, it should not show as such

Relevant logs and/or screenshots

Adding the label:

Removing the label:

Note that, even the sidebar will show it becomes confidential. Not just the flashing message.

Results of GitLab environment info

This happens on gitlab.com

Possible fixes