Once Machine Config Pool goes into degraded state due to incorrect machine config, pool doesn't recover from this state even after updating machine config with correct config.    

  4.16.0, applicable for previous versions as well.  

    Always

    1. Create Machine Config with invalid extension name.
    2. Wait for Machine Config Pool goes into degraded state.
    3. Update Machine Config with correct extension name or delete Machine Config.
    

    Machine Config Pool doesn't recover and always in degraded state.

    Machine Config Pool must be restored and degraded condition must be set with false.

      conditions:
  - lastTransitionTime: "2024-05-16T11:15:51Z"
    message: ""
    reason: ""
    status: "False"
    type: RenderDegraded
  - lastTransitionTime: "2024-05-27T15:05:50Z"
    message: ""
    reason: ""
    status: "False"
    type: Updated
  - lastTransitionTime: "2024-05-27T15:07:41Z"
    message: 'Node worker-1 is reporting: "invalid extensions found: [ipsec11]"'
    reason: 1 nodes are reporting degraded status on sync
    status: "True"
    type: NodeDegraded
  - lastTransitionTime: "2024-05-27T15:07:41Z"
    message: ""
    reason: ""
    status: "True"
    type: Degraded
  - lastTransitionTime: "2024-05-27T15:05:50Z"
    message: All nodes are updating to MachineConfig rendered-worker-c585a5140738aa0a2792cf5f25b4eb20
    reason: ""
    status: "True"
    type: Updating