With the motion controller when you hit Pause, it holds it there until you hit the pause button again to "unpause" it.  With the regular controller, in Normal and Sport modes when you hit the Pause button it will also auto hold the drone until you start moving the sticks again.  However in Manual mode you are flying with the throttle stick loosened so after you hit pause, you have to hold it steady to keep the drone in position.  This is a problem if you want to take off your headset or adjust something, take a break or whatever.  
If the switch is in M mode, it should show that it is paused just like the Motion controller, automatically hold its position, ignoring inputs (in case your throttle stick is flopping around or not in a position to hold altitute) until you hit the Pause button again or move the Mode switch out of Manual.  

Hello there sbarton. Good day and thank you for sharing these information with us. I will cascade these information to the designated DJI department for further attention. Thank you and fly safe always.