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I did try to re-install the parallels tools. It had no effect. My guess is the issue is related to the fact that the 1903 start menu runs in its own process.

I have a Windows VM with 1903 installed on it. When I click the VM icon in my dock the Windows Start Menu is positioned to the left of the screen (see Screenshot). Also when right clicking on anything in the start menu the entire background goes grey. All of this is in coherence mode running...

It looks like the latest parallels update 13.1.0 (43108) fixed the start menu issue

Same issue here. I use the "Automatically hide and show the dock" and as long as this is enabled the start menu doesn't work when I click on the icon in the dock.