What does the cryptic crossword clue "Settled on entering working party (7)" mean?

The definition is "Settled". The wordplay uses a container (one word inside another). RE (synonym="‘on’") in SQUAD (synonym="‘working party’") = SQUARED; definition: "Settled" The answer is SQUARED.

Settled on entering working party (7)

Guardian Cryptic #29178 | 5 Across | 2023-09-18 flower

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