diff --git a/actions/users b/actions/users
index d7f06db71..759b847eb 100755
--- a/actions/users
+++ b/actions/users
@@ -262,6 +262,7 @@ def configure_ldapscripts():
     aug.set('/files' + LDAPSCRIPTS_CONF + '/USUFFIX', '"ou=Users"')
     aug.set('/files' + LDAPSCRIPTS_CONF + '/GSUFFIX', '"ou=Groups"')
     aug.set('/files' + LDAPSCRIPTS_CONF + '/PASSWORDGEN', '"true"')
+    aug.set('/files' + LDAPSCRIPTS_CONF + '/CREATEHOMES', '"yes"')
     aug.save()
 
 
diff --git a/plinth/modules/users/__init__.py b/plinth/modules/users/__init__.py
index b90b22251..e3a3ee464 100644
--- a/plinth/modules/users/__init__.py
+++ b/plinth/modules/users/__init__.py
@@ -45,7 +45,7 @@ class UsersApp(app_module.App):
 
     app_id = 'users'
 
-    _version = 3
+    _version = 4
 
     can_be_disabled = False