[lintweaker]

I am facing similar problems as the topic poster. I've created a user via the System Manager. When trying to login with the new user from the login screen I get the same green screen and then back to the login screen.

/var/adm/SYSLOG shows:
... Xsession: <user>: login
... Xsession: <user>: user "user": cannot chdir to home "/usr/people/<user>" (err 13), using "/"
....Xsession: <user>: Session "var/X11/xdm/Xsession: execution failed (err 13)
....Xsession: <user>: logout

Where <user> is the user I created.

Access rights on /usr/people are:
700 root : sys

And the user directory itself is set to:

755 <user> user

Does this seem okay?

doing a ' su - <user>' as root gives 'no shell' error