No, it doesn’t just move it back to the original position, it allows you to do it manually.
So, usually you’d be creating a rig to control the bones and just snap the rig on the bones. But in this case, you are rigging the bones so you have to move the bone back after setting up the weights. If the bones have very specific placement as you originally placed them, easiest thing is to snap some dummy objects to the bones based on the original positions, as place holders. Don’t link them or anything, just snap their positions. Then when you’ve weighted the bones, snap the bones back to the dummy objects. The shortcut, “Shift A” is for quick snap and pretty useful in these situations.
You can do this after doing the whole setup since you can go back on that list to the top Position XYZ, which is your original placement. This will allow you to get that original placement to place the dummy objects. This is the cool thing about the list controller. It’s like a stack system you can go back and forth. Otherwise you can simply move them into place if it’s not that big of a deal to get them absolutely perfect to the original placement.