Ionic 8 Capacitor 7 new app collides with status bar and the navigation bar of phone

I create a brand new Ionic app (Ionic8, Capacitor7), added the android project to it and deployed it to my phone.

1. ionic start
2. ionic cap add android
3. ionic cap run android


At this very simple stage of the app I see that the phone app itself is running into, overlapping the status bar and navigation bar of the phone.

How can I configure ionic to not have that happening. What I would expect is Ionic to respect status bar and display the app header cleanly underneath it

Here is a screenshot of the app



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