I have the same problem after updating from 1.1.4 to VLC 1.1.5, but then the bug even persists after uninstalling and going back to 1.1.4, although I didn't have any problem before with that version.
I have noticed now that the cursor hides when not watching in fullscreen instead. What a bug
![Sad :(](./images/smilies/icon_sad.gif)