This issue occurs if VAAI is enabled on the ESXi host, and the connected storage array does not execute VAAI commands correctly or successfully. This can be caused by out-of-date firmware on the storage array, or an unsupported make and model of array. The indicated SCSI return code shows an XCOPY command failed due to a Bus Busy condition. If the storage array did not support VAAI, the host would not have tried to use the XCOPY command, so the command itself failed when it should have succeeded.
Note: When a storage connection splitter is used, the splitter itself may fail to recognize VAAI commands or deal with them correctly.