Cannot assign a system user "Employee" Role

Hello, I am extremely new to ERPNext and trying to learn how to use it on a test ERPNext Cloud account.

I setup a user “Stanley” as a system user.
I have a Role group called “Everything” which has every role checked (this is a test system only).
Under Setup>User>Roles>Role Profile it says “Everything”
However, the “Employee” is not checked.
I cannot check it (barred circle icon), nor can I uncheck any other thing (probably because I have picked a profile so that is fixed).

If I change anything and then “Save” I get a “Please set User ID field in an Employee record to set Employee Role”.

I go to Setup>HR>Employee and I have an Employee setup for Stanley already. When I click into that user and for “UserID” I pick Stanley’s UserID (email address) and try to save I get:

“Not Permitted, Did Not Save, Insufficient Permission for User Permission”.

I’m not quite sure what this means… is it ME that doesn’t have enough permissions to perform this action (which I did for a number of other test employees) or is the Stanley account some how not “privileged” enough?

Thanks for any help that you can offer.

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