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I caught the same error on my environments, and I found this error occurs because of the settings of terminal in Visual Studio Code.
Visual Studio Code tries to execute the shell which is saved in the same path where your login shell is saved. Given that your login shell is saved in /usr/bin/zsh, Visual Studio Code tries to execute the shell which is saved in /usr/bin/zsh in Docker container. because any shell doesn't exist in this path, you caught an error.
In order to fix this problem, you can add settings for terminal into Docker container.
Steps to Reproduce:
Does this issue occur when you try this locally?: No
Does this issue occur when you try this locally and all extensions are disabled?: No
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