Index: lams_common/src/java/org/lamsfoundation/lams/usermanagement/service/UserManagementService.java
===================================================================
diff -u -r497d287d9e3fda7ef68b33d7555ea249497c89e3 -r323dcb9e7b2abf3cecee41494dd0bfe07733d378
--- lams_common/src/java/org/lamsfoundation/lams/usermanagement/service/UserManagementService.java	(.../UserManagementService.java)	(revision 497d287d9e3fda7ef68b33d7555ea249497c89e3)
+++ lams_common/src/java/org/lamsfoundation/lams/usermanagement/service/UserManagementService.java	(.../UserManagementService.java)	(revision 323dcb9e7b2abf3cecee41494dd0bfe07733d378)
@@ -93,8 +93,8 @@
 		try{
 			if(object instanceof User){
 				User user = (User)object;
+				user.setPassword(HashUtil.sha1(user.getPassword()));
 				if(user.getUserId()==null){
-					user.setPassword(HashUtil.sha1(user.getPassword()));
 					baseDAO.insertOrUpdate(user);  // creating a workspace needs a userId
 					object = createWorkspaceForUser(user);
 				}