When the user's Security Profile Permission Settings has the same permission sets as the target user's Security Profile Permission Settings, an error is seen: You are not allowed to change the status of a user that has permissions you do not have. Why is this?
This error message can indicate missing permission settings between the requesting user's Security Profile and the current Security Profile of the target user.
The requesting user's Security Profile Permission Settings needs to have the same permission settings as the target user's Security Profile Permission Settings before the requesting user can change the target user's Security Profile.
Vault Security Profile Permissions Documentation: Managing Security Profiles & Permission Sets
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