Users can also add certain default checklist items for a work item type by going to "Work item checklist" settings hub, or by clicking the gear icon on the checklist group on work item form.
These default checklist items would show up for all the workitems of that work item type in the current project. The state of these default items would still be maintained at each work item's level. For eg. In the screenshot above, "Unit tests done" and "Functional tests done" are 2 default checklist items which would show up in each "Bug" work item. But if a user checks "Unit tests done", it would only be checked for that particular work item.
Default items are not sortable or removable from work item form. Users can do that via tha settings hub.
Changelog
(06/12/2019) Version 3.2.1:
Added Dark theme support
Added support for adding labels to each checklist item.
Added a filter bar to filter checklist items by labels.
Show information like who completed a checklist item and when in a tooltip over the checkbox of a completed item.
Added a bunch of user scoped settings:
Toggle Word Wrap: Enabling this will wrap a long checklist item text in multiple lines.
Hide completed items: Enabling this will hide completed checklist items.
Show labels: Enabling it will show labels below each checklist item.
(05/06/18) Version 3.0:
Added support for adding default checklist items for a work item type.
(02/07/18) Version 2.1:
Added functionality to edit a checklist item. Click on the "Pencil" icon in a checklist item row to open the edit view.
Added functionality to reorder checklist items. On hover on each checklist item, a drag handle would now appear. Users can drag a checklist item via the drag handle and drop it at desired location to reorder the list.
Added functionality to mark a checklist item as "mandatory". This can be done during checklist item creation or can be set via edit view too.
Ability to add a state to each checklist item. This can be done in edit view of a checklist item.