So you mean that after updating the driver:
Vulkan + GPU skinning disabled works fine in both fullscreen and windowed mode,
Vulkan + GPU skinning enabled in both fullscreen and windowed mode runs, but the units look broken,
is that correct?
Besides, after changing the GPU skinning setting and saving it, did you restart 0 A.D.?
Because on my side, if I change from Vulkan + GPU skinning disabled to Vulkan + GPU skinning enabled, save the setting and start a new game right away, the game runs without crashing — but I suspect GPU skinning isn’t actually active.