This seems to be fixed the in the trusty version of upstart, although no
debian/changelog entry was created for this bug.

** Changed in: upstart
       Status: Fix Committed => Fix Released

** Changed in: upstart (Ubuntu Trusty)
       Status: Confirmed => Fix Released

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https://bugs.launchpad.net/bugs/1263738

Title:
  login console 0 in user namespace container is not configured right

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