diff --git a/services/core/java/com/android/server/wm/DisplayPolicy.java b/services/core/java/com/android/server/wm/DisplayPolicy.java
index 4573ede13f7f5..c6bfe8ba253cd 100644
--- a/services/core/java/com/android/server/wm/DisplayPolicy.java
+++ b/services/core/java/com/android/server/wm/DisplayPolicy.java
@@ -1814,10 +1814,14 @@ public class DisplayPolicy {
     /**
      * Called when the resource overlays change.
      */
-    public void onOverlayChangedLw() {
+    void onOverlayChanged() {
         updateCurrentUserResources();
+        // Update the latest display size, cutout.
+        mDisplayContent.updateDisplayInfo();
+        // The height of status bar needs to update in case display cutout is changed.
         onConfigurationChanged();
-        mSystemGestures.onConfigurationChanged();
+        // The height of status bar can affect screen size configuration.
+        mDisplayContent.reconfigureDisplayLocked();
     }
 
     /**
diff --git a/services/core/java/com/android/server/wm/WindowManagerService.java b/services/core/java/com/android/server/wm/WindowManagerService.java
index 451e777387450..d7498b757124a 100644
--- a/services/core/java/com/android/server/wm/WindowManagerService.java
+++ b/services/core/java/com/android/server/wm/WindowManagerService.java
@@ -6967,13 +6967,17 @@ public class WindowManagerService extends IWindowManager.Stub
     }
 
     public void onOverlayChanged() {
-        synchronized (mGlobalLock) {
-            mRoot.forAllDisplays(displayContent -> {
-                displayContent.getDisplayPolicy().onOverlayChangedLw();
-                displayContent.updateDisplayInfo();
-            });
-            requestTraversal();
-        }
+        // Post to display thread so it can get the latest display info.
+        mH.post(() -> {
+            synchronized (mGlobalLock) {
+                mAtmService.deferWindowLayout();
+                try {
+                    mRoot.forAllDisplays(dc -> dc.getDisplayPolicy().onOverlayChanged());
+                } finally {
+                    mAtmService.continueWindowLayout();
+                }
+            }
+        });
     }
 
     @Override