diff --git a/src/istio/values/values.yaml b/src/istio/values/values.yaml
index 184a11a9b..c7b28d2f4 100644
--- a/src/istio/values/values.yaml
+++ b/src/istio/values/values.yaml
@@ -1,7 +1,7 @@
 meshConfig:
   accessLogFile: /dev/stdout
   pathNormalization:
-    normalization: DECODE_AND_MERGE_SLASHES
+    normalization: MERGE_SLASHES
   defaultConfig:
     holdApplicationUntilProxyStarts: true
     gatewayTopology:
diff --git a/src/pepr/operator/controllers/istio/injection.ts b/src/pepr/operator/controllers/istio/injection.ts
index e3a465619..b1562164e 100644
--- a/src/pepr/operator/controllers/istio/injection.ts
+++ b/src/pepr/operator/controllers/istio/injection.ts
@@ -20,8 +20,8 @@ export async function enableInjection(pkg: UDSPackage) {
   const annotations = sourceNS.metadata?.annotations || {};
   const pkgKey = `uds.dev/pkg-${pkg.metadata.name}`;
 
-  // Save the original value of the istio-injection label only if it's not already set
-  if (!annotations[injectionLabel]) {
+  // Mark the original namespace injection setting for if all packages are removed
+  if (!annotations[injectionAnnotation]) {
     annotations[injectionAnnotation] = labels[injectionLabel] || "non-existent";
   }