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Cannot add merge change if file is deleted

See original GitHub issue

Type: Bug

Reach a state where there are merge conflict in source control.
Delete one of the files in question
Click the + button under “Merge Changes” section in the source control tab
Nothing happens, file must be recreated and deleted again.

VS Code version: Code 1.71.0 (Universal) (784b0177c56c607789f9638da7b6bf3230d47a8c, 2022-09-01T07:25:38.437Z) OS version: Darwin x64 21.4.0 Modes: Sandboxed: No

System Info

Item	Value
—removed—
GPU Status	2d_canvas: enabled canvas_oop_rasterization: disabled_off direct_rendering_display_compositor: disabled_off_ok gpu_compositing: enabled metal: disabled_off multiple_raster_threads: enabled_on opengl: enabled_on rasterization: enabled raw_draw: disabled_off_ok skia_renderer: enabled_on video_decode: enabled video_encode: enabled vulkan: disabled_off webgl: enabled webgl2: enabled webgpu: disabled_off
Load (avg)	10, 9, 9
Memory (System)	16.00GB (1.57GB free)
Process Argv	–crash-reporter-id 868d69ef-e283-471c-adc5-2609ba0d7c83
Screen Reader	no
VM	0%

Extensions (18)

Extension	Author (truncated)	Version
—removed-----

(1 theme extensions excluded)

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pythonvspyl392:30443607
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pythontb:30283811
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pythonptprofiler:30281270
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vstes263:30335439
vscorecescf:30445987
pythondataviewer:30285071
vscod805:30301674
binariesv615:30325510
bridge0708:30335490
bridge0723:30353136
cmake_vspar411cf:30557515
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cppdebug:30492333
pylanb8912:30545647
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azure-dev_surveyone:30548225
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