diff --git a/pisi/archive.py b/pisi/archive.py
index 8d24f89c..8529786e 100644
--- a/pisi/archive.py
+++ b/pisi/archive.py
@@ -123,6 +123,12 @@ class ArchiveTar(ArchiveBase):
 
             self.tar.extract(tarinfo)
 
+            # tarfile.extract does not honor umask. It must be honored explicitly.
+            # see --no-same-permissions option of tar(1), which is the deafult
+            # behaviour.
+            if not os.path.islink(tarinfo.name):
+                os.chmod(tarinfo.name, tarinfo.mode - ctx.const.umask)
+
         os.chdir(oldwd)
         self.close()
 
diff --git a/pisi/constants.py b/pisi/constants.py
index 40445d15..075d7898 100644
--- a/pisi/constants.py
+++ b/pisi/constants.py
@@ -79,6 +79,9 @@ class Constants:
         self.__c.install_tar = "install.tar"
         self.__c.install_tar_lzma = "install.tar.lzma"
 
+        #file/directory permissions
+        self.__c.umask = 0022
+
         # functions in actions_file
         self.__c.setup_func = "setup"
         self.__c.build_func = "build"