I've come up with a way to implement the workaround via 2 additional group polices that may help everyone here until MS deals with it.
First Group Policy
Create a policy for executing an Immediate Scheduled Task (Computer -> Preferences -> Control Panel Settings -> Scheduled Tasks -> Immediate Task) for the purposes of running this single line PowerShell script
Key elements to configure in the immediate task (General Tab) are: 1) set "When running the task, use the following user account" to NT AUTHORITY\System, 2) check the box for "Run with highest privileges", 3) change the "Configure for" drop down to Windows(R) 7, Windows Server(TM) 2008R2.
Key elements to configure in the immediate task (Action Tab) are: 1) action should be "Start a program", 2) "Program/script" should be C:\WINDOWS\system32\WindowsPowerShell\v1.0\powershell.exe, 3) "Add arguments(optional)" should be -ExecutionPolicy Bypass -command "Get-ChildItem -path:'HKLM:\SYSTEM\CurrentControlSet\Enum\SWD\PRINTENUM' | ForEach-Object {$regkey = (Get-ItemProperty $_.PSPath); Set-ItemProperty -Path $regkey.PSPath -Name ConfigFlags -Value 0}"
Second Group Policy
Create a policy for restarting the Print Spooler (Spooler) Windows service (Computer -> Preferences -> Services -> Spooler)
The only thing that is required is to set the "Service action" to Restart service
Policy Ordering Notes
Make sure you set the execution order of the policies in the proper execution order by reordering the link order of the policies on the OU(s) they are applied on so that your printer deployment policies come first, the Immediate Scheduled Task policy comes second, and the spooler restart policy comes third.
Other Notes
In our environment we are also setting HKLM\SOFTWARE\Microsoft\Windows\CurrentVersion\Device Metadata\PreventDeviceMetadataFromNetwork = 1
The PowerShell script is only useful once the registry keys exist, which only happens after the deployment/driver install is initiated (which is slow), so essentially you can either wait for multiple group policy check intervals to occur, or if you are on a new system (or are in a hurry) just simply keep launching gpupdate /force from a command prompt on the target system until all the printers show up as desired.
With this workaround I was able to drop the deployment time of 5 network printers from a WS2016 print server on W10 20H2 clean load from 20+ minutes to under 5 min, and have all the printer name show up correctly. (All HP LJ printers and MFPs, all Type-3 drivers)
I can also confirm that our enterprise did not experience any issues prior to W10 2004 (W10 1909 deployed printers almost instantly without any workarounds).
Raw PowerShell Scripts
Get-ChildItem -path:'HKLM:\SYSTEM\CurrentControlSet\Enum\SWD\PRINTENUM' | ForEach-Object {$regkey = (Get-ItemProperty $_.PSPath); Get-ItemProperty -Path $regkey.PSPath -Name ConfigFlags}
Get-ChildItem -path:'HKLM:\SYSTEM\CurrentControlSet\Enum\SWD\PRINTENUM' | ForEach-Object {$regkey = (Get-ItemProperty $_.PSPath); Set-ItemProperty -Path $regkey.PSPath -Name ConfigFlags -Value 0}