A new option to reset at the last checkpoint has been added to the pause menu, in-case you get stuck. There was always a button to reset bound to 'K' by default, however you'd only know about it if you checked the key bindings menu. It should now be clearer that you're able to reset.
Sally Can't Sleep update for 19 March 2023
Reset Hotfix
Wendy
Patchnotes via Steam Community
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Depot 2306381
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