When Desktop folder redirection is configured for existing user profiles, User Profile Management (UPM) only transfers individual files from the user profile's Desktop folder to the redirected location, resulting in the deletion of all subfolders and their contents.

Either Disable the ProfileStreaming feature or add the "Desktop" Folder to List of directories to exclude from Profile Streaming Policy setting to migrate the data.

Note : 
After the folder data is migrated to the new redirected location, we can remove the folder from streaming exclusion list or enable profile streaming for folders again. 

Problem Cause

• With profile streaming for folders enabled, when enable folder redirection for folders that not redirected before, need to add the folder to streaming exclusion list or disable profile streaming for folders at the same time.
• User Profile Management (UPM) created the folder "Desktop\FolderA" as a reparse point since UPM profile streaming for folders is enabled.
• UPM call Microsoft's API for setting up the redirection and moving it's content for Desktop.
• Microsoft GPSvcGroup service is the actual service responsible for moving the Desktop content and it deletes the folder "Desktop\FolderA" if it's a reparse point.