"Trackpad is not working on MacBook Air M1 (sometimes): [...]I ran some first aid utility. Saw some warning signs there. Also, there was a little bit dust at the border of the trackpad when I moved a small piece of paper through it. Not quite sure what’s the actual reason."
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Thank you for the photo.
According to Google AI "warning: inode" indicates an issue with a specific file or directory on your hard drive, identified by its inode number
So, Reinstalling the macOS:
Another option would be to reinstall the macOS. Perhaps an install was not 100% successful? Sometimes, when major changes are made to your Mac(i.e. update installations), system settings (i.e. for the trackpad) become manipulated, technically. So, when reinstalling, nothing would be deleted. It's just that items that have become corrupted or deleted, would be replaced or reinstalled back to where they should be. Go Here: How to Reinstall macOS from macOS Recovery - Apple Support
Important: Be certain you back up your Mac prior to making any major changes to it, such as a reinstall. In doing so, you with have something to restore store your Mac from, should anything go wrong with the resitnalltion.
