Hi Andrew,
I'm still seeing the same behavior, so I don't think I'm describing what I'm seeing very well. Before the upgrade, you could see a user's folder structure, like the screen shot. Now, as an admin, I just see the items they own all in one long list, as if I had done an advanced search of owner:<username>.
It was easier for us to see their items in a user's folder structure. For example, if they created items they wanted us to review, they could put them into one folder. We only then needed to know the folder name, not every item name, or guess at how they tagged the items.
Thanks,
Susan