When an Identity Provider Provisioned user gets removed from Atlassian Cloud app on IDP, it initiates a Deactivation of the user on Atlassian however the account remains with Padlock icon and cannot be reactivated/ edited via UI.

Solution:

When an Account is deactivated on IDP, it means that they are no longer in the Provisioning Scope, the padlock icon on the account should be removed so that the account can be edited via admin.atlassian.com