Seems to be a bug. Started on Ventura 12.2.1 on Intel-based Mac. When trying to rearrange menu icons in the "Hide menu icons" settings, the UI hangs up while "rearranging". Once finished, the icon arrangement in the settings panel is updated, but the system icons are not. Clicking anywhere in the settings panel then syncs the icons up to reflect that of the system. Nothing can be arranged.