In the documentation (comments) of the configure directive SETGID_HOME (/etc/adduser.conf), it says that:

# If SETGID_HOME is "yes" home directories for users with their own group the setgid bit will be set. This was the default for versions << 3.13 of adduser. Because it has some bad side effects we no longer do this per default. If you want it nevertheless you can still set it here. SETGID_HOME=no

What are those side effects?

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    Dear God, I don't think that has been done for decades. You do need to be specific about which operating system (and distribution, if it's Linux) and version you are talking about. In particular, Debian-based systems have a nonstandard "adduser" script which calls the real "useradd" program, which all Linux distros use. – Michael Hampton Mar 30 at 1:02

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