I noticed that my laptop doesn't suspend when I close the lid. Running loginctl suspend works just fine. I also don't see any messages in /var/log/messages for lid close events, not sure if I would expect to get logs for that.

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elogind can tell when my lid is closed, I tried to run

sleep 5 && loginctl show-seat

and close the lid, when I open the lid I see LidClosed=yes.

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I'll dump my config here https://pastebin.com/YTxJm7BB