Gnome desktop icons do not load on login - Red Hat Customer Portal

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Issue

Gnome desktop fails to load
Cannot right click on desktop
Cannot drag icon to desktop
Existing icons on desktop are missing
When choosing from the top menu Places -> Desktop the following error message is displayed:

Cannot open location 'file:///root/Desktop' There is no default action associated with this location

This problem occurs for any user that logs into the system. Logout and re-login does not resolve the issue.

Environment

Red Hat Enterprise Linux 5
Gnome Desktop Environment

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