@Cadence
It looks like the problem with halflings existed since the beginning in. They are simply short humans. And because they are short, are compared to gnomes.
In other words, the critiques in this thread are validated by the Basic and 1e origins.
• Delete halfling and use a Human of Small size instead, being a distinctive ethnicity.
• Merge halfling with gnome, and make them ethnicities within the same lineage.
Both of the above suggestions are legitimate.
For me, I want the halfling to move out of the foreground as part of the top four "common" lineages that get featured. But I dont mind them in the background as uncommon, alongside orc and whatnot. I feel they can stay in the PH, like other uncommon races can. However, if they exist separately, I want them to feel distinctively different from human.
Except it feels like in the beginning it was "Halflings are close to Humans, and Gnomes are close to Dwarves". The only thing it feels like Halflings and Gnomes have is size.