Container creation fails for versions 0.32.x and above

[eshepelyuk]

What happened?

AWS provider controller container creation fails with error

 Warning  Failed     <invalid> (x4 over <invalid>)  kubelet            Error: failed to start container "provider-aws": Error response from daemon: OCI runtime create failed: container_linux.go:367: starting container process caused: chdir to cwd ("/home/nonroot") set in config.json failed: permission denied: unknown

How can we reproduce it?

1. create EKS cluster
2. install Crossplane
3. Add AWS provider

What environment did it happen in?

Crossplane version: 1.9.0, installed by Helm chart
k8s: EKS with k8s version 1.23

[pjanouse]

Release v0.34.0 is still affected by this issue.

Update: Releases from v0.32.0 to latest (currently v0.34.0) are affected.
Similar issue for provider-helm and provider-kubernetes.

[pjanouse]

v0.36.0 still the same issue here.

[pjanouse]

@eshepelyuk was the fix released with the last published release v0.40.0? If yes, then I can report the issue is still here.

[pjanouse]

Issue isn't fixed thus raised a new one (#1786) because I can't re-open this report.