I had this issue with one VM where the mouse would either play dead, or it’d just hide in a corner. While I did have RDP access, it was.. quite annoying.
So some googling around I found this.
1. Do it all over again, but make sure to uninstall the Virtual Machine Additions before you convert the machine.
2. Install VMWare tools without the mouse driver (choose custom installation)
3. Open regedit, and use your mad keyboarding skillz to navigate to
HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\Class\{4D36E96F-E325-11CE-BFC1-08002BE10318}
..then remove the value msvmmou and any adjacent spaces from the Regvalue UpperFilters, leaving whatever else is there, then reboot.
And it actually worked!