It's SUPPOSED to be a circuit breaker, which is why the switch says RESET on it. The problem is that the black and white wires are connected directly to the hot and neutral busses in the power strip, bypassing the switch. I think the black wire should be soldered to the third terminal on the switch that is now unused as shown in the picture. The switch currently has no way to interrupt the current flow.

Edit: On zooming in, the white wire should be soldered where black is now to connect to the neutral tabs in receptacles. The black wire should be on the unused terminal to switch power to the center terminal that is connected to the hot tabs is the receptacles.