I think it is harmless. I think that the settings directory is intentended TO BE IGNORED by Git.
Why do I think so? What is my reason to be confident? Please have a look at the following issue.
In Dec 2018 I experienced Merge conflicts. I investigated it and proposed a fix to Katalon Team. They took my points and changed Katalon Studio a bit. They introduced the settings directory where timestamp-sort of ‘changing every time test runs’ data is stored, and these data are intended to be ignored, I believe.
@Katalon team,
I would like you to state that the settings directory should be .gitignored.