Leave during holiday is not working
Holiday pay always governs over leaves on holiday. UT-Leave will only happen if the employee is not eligible for holiday pay.
To confirm, simply open the DTR breakdown and see whether it is showing as UT-Holiday or not.
If DTR breakdown is showing as UT-Holiday instead of UT-Leave, it means that the employee is eligible for holiday pay on that day.
If employee should not be eligible for holiday pay, see holiday configuration in employee information: