This is "Cobwebs" by Ray Brown as per Short story about the drawbacks of human telepathy on an alien planet. You can find a story summary here:
Ray Brown in his story Cobwebs, in Analog August 1987, was part of a series he did of a planet colonized by telepaths. They developed a group mind, a zeitgeist, which over time created a false, yet pleasant, view of their colony. Everybody was handsome/beautiful, the colony was gleaming. The reality was that many of the people had caught a virus when they arrived that made them look like a Joker on a deck of cards, with the chin curving up to almost touch the nose. New arrivals would be shocked by people's appearances, yet the zeitgeist would quickly overwhelm that new view, and the existing false view would prevail.
A death occurred and was investigated. A person was found dead under an elevated walkway. It seems the elevated walkway actually had a missing floor section and the person stepped through the hole and died. Yet to the people in the zeitgeist all they saw was a perfect, gleaming construction.
The planet had natives that were trying to kill the colony. They could somehow hide in plain sight from the colonists. Only the children who were not yet part of the group mind could see them, so they had the kids be their eyes to protect them.