This conversation has been merged. Please reference the main conversation: Photoshop CC 20.0.1: Transform inconsistencies
To start, the tool is literally named Free Transform, and Adobe has just removed the Free part by default. Additionally, it does not align with any other Adobe application. Adobe claims this is to help new users, but it works directly against new users and seasoned users alike. It's not easy switching between Illustrator, InDesign, and Photoshop with Transform acting inconsistently.
Speaking of inconsistent, the tool itself works inconsistently. Type and pixels scale constrained. Vector and smart objects scale freely. This is entirely not intuitive. I understand where some people are coming from (Gasp, why would you ever scale pixel or type any other way?), but there are many of us that do. (Oh don't look at me that way! I scale unconstrained a lot while digitally painting!)
Thirdly, give the user some agency (we're really not dumb). If this has to change, then give us an option to choose the default behavior WITHIN the app and make it consistent. Either constrain all or free transform all.
And before someone says there is a solution to this, creating a text file and placing it in the settings folder is a bandaid, not a solution.