diff --git a/app/views/issues/new.js.erb b/app/views/issues/new.js.erb
index a7e8cf88b..163c723c5 100644
--- a/app/views/issues/new.js.erb
+++ b/app/views/issues/new.js.erb
@@ -4,7 +4,10 @@ replaceIssueFormWith('<%= escape_javascript(render :partial => 'form') %>');
   $("#watchers_form_container").html(
     '<%= escape_javascript(render :partial => 'issues/watchers_form') %>');
 <% when "issue_category_id" %>
-  $('#issue_assigned_to_id').find('option').first().html(
-    '<%= escape_javascript(
-           @issue.category.try(:assigned_to).try(:name)).presence || '&nbsp;'.html_safe %>');
+  $('#issue_assigned_to_id').find('option').first()
+    // Browsers prefer option[label] over inner text, so remove the blank label.
+    .removeAttr('label')
+    .html(
+      '<%= escape_javascript(
+             @issue.category.try(:assigned_to).try(:name)).presence || '&nbsp;'.html_safe %>');
 <% end %>
diff --git a/test/functional/issues_controller_test.rb b/test/functional/issues_controller_test.rb
index a17478b7e..c3dbdc082 100644
--- a/test/functional/issues_controller_test.rb
+++ b/test/functional/issues_controller_test.rb
@@ -4242,6 +4242,27 @@ class IssuesControllerTest < Redmine::ControllerTest
     end
   end
 
+  def test_update_form_for_new_issue_should_show_category_default_assignee_when_changing_category
+    @request.session[:user_id] = 2
+
+    post(
+      :new,
+      :params => {
+        :project_id => 1,
+        :issue => {
+          :category_id => 1
+        },
+        :form_update_triggered_by => 'issue_category_id'
+      },
+      :xhr => true
+    )
+    assert_response :success
+
+    # Browsers prefer option[label] over inner text, so the blank label must be removed.
+    assert_includes @response.body, ".removeAttr('label')"
+    assert_includes @response.body, "John Smith"
+  end
+
   def test_post_create
     @request.session[:user_id] = 2
     assert_difference 'Issue.count' do