OneDrive overlay icons not showing on macOS

I’ve had this happen to me a few times as I switched over to OneDrive in Office 365 vs iCloud.

If the overlay icons aren’t showing correctly sometimes you need to turn the extension on and off again. Go to system preferences then search for extensions and and click finder extensions and unselect and reselect the OneDrive ones.

You can also see the Microsoft article Sync files with OneDrive on Mac OS X