That doesn't look good. There may be a small chance if you try the steps in this article, but there's a good chance it won't work.
https://www.backyardchickens.com/articles/treating-splay-leg-in-quail.78692/
How long has it been going on? Sometimes the chicks will do that, but it usually stops in less than a day. If they are continuing to pick on it, you may want to separate them into two batches, one with the bully (or bullies) and one with this one and some companions.
Yeah, those two eggs look dead to me.
Some of these videos show not only the live embryos but eggs on the same day that have stopped developing.
https://www.youtube.com/playlist?list=PL8AKDZ9NpcmHLecXHu6m5qhUIp67ldEnG
That looks like it will work. You'll want to get something to replace the stuff you take from your drawers since you won't want to put it back in there after the chicks have been pooping on it.
Do NOT use a ziplock bag. You want a rough surface so they can walk on it without slipping and tearing a tendon.
Grippy shelf liner is the best stuff that I've found, but you want something that their feet won't slip through and rough enough that they won't slip on it.
It does depend on the paper towels. Expensive paper towels have more texture and work better, but not many people buy the premium brands, so I usually advise against them. Both paper towels and cloth towels may absorb the water, which would be bad, which is why shelf liner works well. It has...
A hand towel might work, but you don't want it to get wet. The screen that @Ridgerunner suggested might work as well.
If you have a dollar store in town, a quick trip to there will solve your lack of shelf liner.
It is definitely time to take out the turner.
As for humidity, you want it to be about 30% during incubation, but you want to bump it up to 50-60% after you remove the turner. The humidity needs to be high enough to soften the shell a bit but not so high that the chick slips around inside...