If you're unhappy with the new taskbar, even after shrinking it, then it only takes a moment to restore the old Quick Launch Toolbar.
Right-click the taskbar, choose Toolbars > New Toolbar, type "%UserProfile%\AppData\Roaming\Microsoft\Internet Explorer\Quick Launch" (less the quotes) into the Folder box and click Select Folder.
Now right-click the taskbar, clear 'Lock the taskbar', and you should see the Quick Launch toolbar, probably to the right. Right-click its divider, clear Show Text and Show Title to minimise the space it takes up. Complete the job by right-clicking the bar and selecting View > Small Icons for the true retro look
