The shader does do what the tutorial shows. The author of the video even posted the Unreal version that I used - you can find it on this link Imgur: The magic of the Internet.
As I said, it works with static meshes, but not with painted foliage. I put in my mesh, created as shown in the tutorial, and applied the material and all works well. Painting that mesh with the foliage painter tool breaks the effect though. The painted version still moves based on camera perspective, but the rotation seems incorrect.
In the picture, you can see the bushes in the foreground look nice and fluffy. Those were manually placed. In the background, you can see many parts that are facing left and resulting in a very thin look with various bald spots. Those were painted with the foliage painter.