Well the point is that they shouldn't call the method iso8601 if it doesn't implement the whole iso8601 standard
It's not perfect, but no implementation will ever be imho.
YYYY-MM is year-month, not year-day365. It's not very reasonable to interpret yyyy-mm as year-day365 in a function called iso8601 when the standard says that's not how to interpret it.
Parsing it incorrectly is bad news.