How notch traversal works on MacBooks

Tailscale now has a full windowed UI. Before that, our app had to learn how to tell you it was hidden by The Notch.

I haven't had enough menu bar icons to run into this but is it really the case that the notch just hides whatever icons happen to be behind it? Like, the OS doesn't handle this incredibly obvious edge case? Why not just put an overflow dropdown next to the notch (something Windows XP managed to figure out)? I know software quality has been going down in recent versions of macOS but this is absurd.

Yes it is genuinely infuriating that this is the case for a company that for so long was praised for their superior UX.

This along with the tons of other paper cuts they've slacked on is tarring their brand.