diff --git a/package/base-files/files/lib/functions.sh b/package/base-files/files/lib/functions.sh
index da2dd5b3464..4b1b838572a 100644
--- a/package/base-files/files/lib/functions.sh
+++ b/package/base-files/files/lib/functions.sh
@@ -386,8 +386,8 @@ group_add_user() {
 	echo "$grp" | grep -q ":$" && delim=""
 	[ -n "$IPKG_INSTROOT" ] || lock /var/lock/passwd
 	sed -i "s/$grp/$grp$delim$2/g" ${IPKG_INSTROOT}/etc/group
-	if [ -x /usr/sbin/selinuxenabled ] && selinuxenabled; then
-		selinuxenabled 2>/dev/null && restorecon ${IPKG_INSTROOT}/etc/group
+	if [ -z "$IPKG_INSTROOT" ] && [ -x /usr/sbin/selinuxenabled ] && selinuxenabled; then
+		restorecon /etc/group
 	fi
 	[ -n "$IPKG_INSTROOT" ] || lock -u /var/lock/passwd
 }