diff --git a/libsemanage/src/Makefile b/libsemanage/src/Makefile
index a249f0ff..67afc60b 100644
--- a/libsemanage/src/Makefile
+++ b/libsemanage/src/Makefile
@@ -1,7 +1,7 @@
 # Installation directories.
 PREFIX ?= $(DESTDIR)/usr
 LIBDIR ?= $(PREFIX)/lib
-SHLIBDIR ?= $(DESTDIR)/lib
+SHLIBDIR ?= $(PREFIX)/lib
 INCLUDEDIR ?= $(PREFIX)/include
 PYLIBVER ?= $(shell python -c 'import sys;print "python%d.%d" % sys.version_info[0:2]')
 PYINC ?= /usr/include/${PYLIBVER}
@@ -127,7 +127,7 @@ install: all
 	test -d $(LIBDIR)/pkgconfig || install -m 755 -d $(LIBDIR)/pkgconfig
 	install -m 644 $(LIBPC) $(LIBDIR)/pkgconfig
 	test -f $(DEFAULT_SEMANAGE_CONF_LOCATION) || install -m 644 -D semanage.conf $(DEFAULT_SEMANAGE_CONF_LOCATION)
-	cd $(LIBDIR) && ln -sf ../../`basename $(SHLIBDIR)`/$(LIBSO) $(TARGET)
+	cd $(LIBDIR) && ln -sf $(LIBSO) $(TARGET)
 
 install-pywrap: pywrap 
 	test -d $(PYLIBDIR)/site-packages || install -m 755 -d $(PYLIBDIR)/site-packages