I am attempting to restrict access to the All Users folder via GP. Currently I have the setting under:
Computer/Policies/Windows Settings/Security Settings/File System configured for the %AllUsersProfile% folder, which works great on XP. However it doesn't work on 7 since that points to C:\ProgramData.
Is there any other way to go about this to make it work with XP and 7?
I believe doing what you're doing will accomplish your goal. In Win 7, All Users is just a shortcut to C:\ProgramData so if you set permissions on %AllUsersProfile% there you should be good to go in both OS's.