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nope, when i was on 2.3.3 the gps icon show when i on it.
coz when the symbol is on, that means gps is active, draining battery. so now, like it should, its always turned on, but activated only when a location based app such as foursquare is running. its not a bug, its how it should be ;D
GPS being ON kinda means its just 'ready', not activated.. the icon will show only when the GPS receiver is activated, by a location based app. so yes, u can leave it on all the time, it wont drain battery. battery is only consumed when an app activates the GPS receiver (i.e. when u see the icon)