Hi @JanelFavero,
Sorry for the delayed response. I investigated with the team, and this is an expected scenario on Mac. In case any floating panels are open, Cmd+Z will not work unless the floating panel is closed.
On small windows, you will have Align option in the floating panel.

However, if you have a high-resolution monitor which is not scaled on macOS, you will get full Align options on the control bar. In this layout, you will be able to cmd+z and use the Align options simultaneously.

Also, this is not related to any specific macOS or Illustrator version. This behavior has been here since the beginning.
I hope this helps!
Thanks,
Anshul Saini
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