Magic Track pad loses gesture and tapping capabilities after macbook 2016 wakes up from sleep

I have a 2016 macbook and a Magic TrackPad, everytime the Mac goes to sleep, after wake up the gestures and tapping would not work on the trackpad until I restart the mac.

I have tried restarted SMC and did not help. Interesting behavior is that after the wake up the trackpad connects as a mouse ( The mouse logo pops up) and when I look under trackpad preference I can't find it there. Looking under Bluetooth preference I see the trackpad but it doesn't show battery remaining.

I have also tried pairing a different trackpad and observed the same issue.