rsync: Failed to exec ssh: No such file or directory (2)

Issue

Following error appears when trying to copy remote files with rsync:

rsync -av user@host:/tmp/test/* .
rsync: Failed to exec ssh: No such file or directory (2)
rsync error: error in IPC code (code 14) at pipe.c(83) [receiver=2.6.8]
rsync: connection unexpectedly closed (0 bytes received so far) [receiver]
rsync error: error in IPC code (code 14) at io.c(463) [receiver=2.6.8]