It sets Err. Which is essentially how SH, C and Go work too.
(With the obvious exceptions of longjmp and panic/defer, global vs local var, and Go forcing to assign the error.)
On Error Resume Next isn't great, but calling it much worse than On Error Goto, or much worse than other languages, is a stretch.
My point is only that people complain about it in VB disproportionally often compared to other languages. (Does that mitigate the issue to some extent, if every VB dev is super aware of it?)