I don’t have this issue do you have an updated Vscode version?
The distributed .devcontainer exclude some build directories with defaults names bazel-*:

  

      github.com
  

  
    microsoft/vscode-dev-containers/blob/main/repository-containers/github.com/tensorflow/tensorflow/.devcontainer/devcontainer.json#L24-L29 1



      
      
          		"files.watcherExclude": {
          			"**/bazel-*/**": true
          		},
          		"search.exclude": {
          			"**/bazel-*/**": true
          		}
      
    
  


  

  
    
    
  

  


Do you have other directories to exclude?