Look, further at the screen snap and you can see 2/10 applied or 20% NR applied.
It also says that the Chroma filter will begin to apply at 3600. Since we are only at ISO 980, No Chroma filtering is turned on.
The slider in the Raw options for Noise reduction threshold, is now more understandable.
If your camera has a ton of pixels placed on a smallish sensor, it will produce more noise than your old camera with less pixels and the same size sensor.
See Terry's post #4. He set his threshold to allow Qimage to apply some Noise reduction earlier. (Earlier means at a lower ISO than 400)
Back to topic.
I also want to mention should you have a particularly noisy image, be it chroma or common noise, the AUTO Noise reduction uses most of the power of the Noise reducer, but there is still some left in the tank which can be added manually in the Image Editor.
fred