The latest Windows updates as of this reply are what caused this same issue to now effect me. I have two displays (extended), and I believe that the issue is related to that. The latest updates have caused this issue, which seems to also be in relation to the PowerToys FancyZones utility, There is now buggy behavior in relation to both, and they both happened at the same time, after KB5041080, KB5041169, or the combination of the two. That's about as far as I give a f, but yes, this is still a continuing issue.
I know that no one from Microsoft is reading this, but hopefully this helps other people out there to at least confirm the frustration. FancyZones are totally screwed up at the moment (Windows will not stay in their place), and I occasionally see a message stating "a toolbar is already hidden on this side of your screen. you can have only one auto-hide toolbar per side.". This message always coincides with my taskbar auto-hide disabling itself.
That's about all I have ascertained so far. Without a direct channel for Microsoft support, I can't take it any further.