You must start Steam and leave it running in the background, then run the new shortcut. Instead, create a new shortcut to the file 'starwarssquadrons.exe' which, if installed in the standard location, will be here: C:\Program Files (x86)\Steam\steamapps\common\STAR WARS Squadrons After installing this fix, the normal steam shortcut will not launch the game properly.
There may be a very few unfixed effects, but the game is very playable and I will update this post with newer fixes as time permits. This fixes menu positions, lighting, and flight simulator effects as of the January 2021 version of the game. 3D Vision fix for Star Wars Squadrons, using 3Dmigoto and Frostbite3.