Z-Wave Device Status reporting when activated via z-wave command

I have a Home Assistant automation that changes the Indicator status on a Zen32 button when the Zen77 paddles are pressed. It works great to mirror the status of the dimmer on the little Zen32 button.

Turning on or off the Zen77 via a z-wave command turns on/off the light, but does not trigger the automation.

Is there a setting on the Zen77 that I need to set?

Thank you.