All VMs Unusable after update to 10.1.1 (28614) Failing to allocate RAM to VMs

After updating to Parallels 10.1.1 (28614) on Yosemite, all my VMs have been rendered useless. The problem is that for some bizarre reason, Parallels is no longer allocating any physical memory to VMs. Previously if I would look at a VM in Activity Monitor, its "real memory" allocation would more or less match the amount of RAM I had allocated to it in the VM settings. After updating, the Real Memory allocation is basically nothing - on My Windows 8 VM where it was previously around 2.1 GB, now it's about 100 MB. The VMs run absolutely as well as you would expect them to with 100 MB of physical RAM to work with. Booting takes 10 minutes, clicking the mouse takes 30 seconds to register - they're completely and utterly unusable.

I've tried deleting Parallels and reinstalling it, I've tried removing every Parallels settings and cache file I can find. I've tried messing with the RAM allocations in the VMs settings (they are normal.) Nothing has helped. It is NOT a problem with the VMs themselves. When I take the exact same VMs and run them on my MacBook Air (Also running Yosemite and the same version of Parallels) everything works just fine - the RAM allocations in Activity Monitor are correct and the VMs run normally.

I'm at my wit's end here - this has completely destroyed my workflow. Any advice would be appreciated. This is on a 2011 iMac with 16 GB of physical RAM.

 

I never would have guessed this, but right after posting I finally stumbled across the fix: Resetting NVRAM for the whole computer, as outlined here.