auto resize down of desktop not working

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I upgraded this from 15.04 to 15.10 and everything worked just fine.
(Isn't this the way all of these start? ^__^)

Upgraded to 16.04 and resize works just fine as long as I am going to a
larger screen size or expanding to the second monitor with the "Cycle
Multiple Monitors" button on VMware Workstation.

Changing the size of the VMware Workstation window, turning off full
screen mode, or going back to a single monitor does not cause an
automatic resize down.  The scroll bars on the VMware Workstation
appear.  I can scroll just fine, but the mouse location is no longer in
sync with what is displayed on the screen.

Please let me know any additional info that is required.

Joe

VMWare Workstation Pro 12.1.1 build-3770994

me@ubuntu:~$ lsb_release -a
No LSB modules are available.
Distributor ID:	Ubuntu
Description:	Ubuntu 16.04 LTS
Release:	16.04
Codename:	xenial

@ubuntu:~$ apt search open-vm-tools
Sorting... Done
Full Text Search... Done
open-vm-tools/xenial,now 2:10.0.7-3227872-2ubuntu1 amd64 [installed]
  Open VMware Tools for virtual machines hosted on VMware (CLI)

open-vm-tools-desktop/xenial,now 2:10.0.7-3227872-2ubuntu1 amd64
[installed]
  Open VMware Tools for virtual machines hosted on VMware (GUI)

open-vm-tools-dev/xenial 2:10.0.7-3227872-2ubuntu1 amd64
  Open VMware Tools for virtual machines hosted on VMware (development)

open-vm-tools-dkms/xenial,xenial,now 2:10.0.7-3227872-2ubuntu1 all
[installed]
  Open VMware Tools vmxnet kernel module (deprecated)

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