The first problem is a common problem with the VM Ware client, as it defaults to a priority higher than what is assigned to the GPU console. As such, even though the GPU console uses little CPU power, VM Ware chokes the output of the GPU console. I recommend a program called Prifinity
PriFinitty 2 by Ed Wilk this program will allow you to set the priority of the GPU to higher than the VM Ware client, and save it to always be that way. Task manager priority changing requires you to set it to high priority every time the GPU gets a new work unit.
As for the GPU not folding now, I can't explain that. Try doing a clean wipe of the drivers as it sounds the card isn't actually ramping up. Perhaps its not hitting 3D clocks, and thus is now folding slow.