the auto-equip feature do not work.
I tried the check / uncheck still didn't work
Just tested myself with a ranger in the crypt and immediately saw him equip both a rusty sword and a bone pendant.. Is it a specific dungeon that they're not equipping in? do the items that are dropping have class requirements that your hero doesn't share? a full screen screenshot of the item drop not being equipped on the hero tab would help narrow down your issue.
ignore my other reply, while implementing an equip best I found a bug where the unlock in the codex mismatched the game logic from a previous iteration. if you were under 60% codex the auto-equip wasn't functioning despite being unlocked at 40% in the codex. (same with auto sell & 30%/20%). Thanks for flagging this, I wouldn't have discovered it without your feedback :)