No, they don't.
Trust me or don't it's on you I don't really care, but not enough people report him so Twitch doesn't notice. I know this for a fact, so do other people. People took the bait Phil was throwing, and stopped reporting. Same bait he threw with "I never lose chargebacks" and we saw years later how well this worked. People these days @Twitch or @TwitchSupport instead, which actually achieves fuck all.
I'm not telling people to go report him to be clear, at this point I'm rooting for Phil because this is exceptional on our part. I'm just telling these people that they are wrong to think Twitch gets flooded with reports because Phil says so.
This.
When I was first contacted I was told a "formal complaint" would be filed. To me that meant, well, formal. Later when I found out it was a support ticket, I did look into it and I've been told (perhaps erroneously) that those are taken more seriously than the report system used on someone's channel (the little report flag option) seemingly because you're given an actual case number and are able to get updates. I cannot say with certainty that this is the case, especially if Nigel is saying that there's little to no difference in the efficacy of the methods.
Afterward I pushed Dubz to contact someone on Twitch via phone number and get a resolution that way should nothing come of this from the support ticket. At this point, I'm really really not holding my breath.
I can't say I feel duped, but outside of what was said a few pages ago about the admittedly funny scenario of Dubz trying to "le epic own Phil/Twitch with a lolsuit", I don't see anything happening.
In regards to the fact that Phil gets "spammed with reports and they never work". I have my own theory on that. It's a bit tinfoil hat so bear with me. I think that when Hassan Bokhari (read: sex pest) was Phil's contact, he at some point told Phil to not worry about the reports that went in because they were never taken seriously. Phil, brainlet that he is, took that to mean that he was getting spammed with reports and they didn't work because he had an Indian gunt shield at Twitch, so much how "I never lose chargebacks" was born from "I've been wining chargebacks recently", it became "your reports have no power here" (a.k.a. "Silly bitch your lasers cannot harm me, I'm the Juggernaut" <<< also holy fuck what an old, dead meme).
I can say that I know Phil has been reported by people in the past for things that are a legit TOS violation. Using "retard" twice on stream, mocking mental illness, using the word "autistic", more recently doing channel point wagers tied to actual money (a big fucking no-no), the stuff that's actually real and tangible. It's easy for people who have brain cells to see he's feigning financial distress but that's a much more difficult thing to prove. It's much, much easier for Twitch to just go back and go "Yep, he said retard, let's slap him on the wrist". Shit, about two years ago at this point (maybe longer) I reported him once myself just to see what would happen during his Yakuza 6 playthrough. Near the end of the game he ran into an Asian guy in a helicopter firing a mini-gun. Phil yelled "Oh shit it's CHAIN GUN CHARLIE" and then repeated the joke in an Asian accent. Charlie, afaik, is still a pretty fucked up epithet for Asians, particularly the Vietnamese. Spoiler: Absolutely fuck all happened.
I'm not trying to say that reports on Phil are without merit. Usually they have merit, outside of the redditors that want to "see justice done" because "he can't keep getting away with this".
I'm saying that so long as Twitch continues to have a ticket or flag system that allows shit like "Yo this bitch just gave literal poison to her fucking cat live on stream", or "Yo this other bitch just said 'nigger store' live on stream" to go wholly unnoticed/unrectified, there's very little reasonable expectation that our boy Philliam is gonna face any repercussions on this, at all.
I'm also naïve for thinking that formal meant actual formal complaint from the rip.