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This bug has been copied from bug #1737884 and has been proposed to be backported to 7.7 z-stream (EUS).

Change only in spec file, so distgit has no added patch. Also change of service file permissions (removal of exec flag) is handled too:

Proposed patch:
@@ -178,13 +178,14 @@ make %{_smp_mflags}
 
 %if %{with spausedd}
 cd spausedd-%{spausedd_version}
+CFLAGS="${CFLAGS:-%{optflags}}" ; export CFLAGS
 make \
 %if %{defined use_vmguestlib}
     WITH_VMGUESTLIB=1 \
 %else
     WITH_VMGUESTLIB=0 \
 %endif
-    %{?_smp_mflags} CFLAGS="%{optflags}"
+    %{?_smp_mflags}
 %endif
 
 %install
@@ -236,7 +237,7 @@ make DESTDIR="%{buildroot}" PREFIX="%{_prefix}" install
 
 %if %{with systemd}
 mkdir -p %{buildroot}/%{_unitdir}
-install -m 755 -p init/spausedd.service %{buildroot}/%{_unitdir}
+install -m 644 -p init/spausedd.service %{buildroot}/%{_unitdir}
 %else
 mkdir -p %{buildroot}/%{_initrddir}
 install -m 755 -p init/spausedd %{buildroot}/%{_initrddir}
@@ -627,6 +628,12 @@ fi

Since the problem described in this bug report should be
resolved in a recent advisory, it has been closed with a
resolution of ERRATA.

For information on the advisory, and where to find the updated
files, follow the link below.

If the solution does not work for you, open a new bug report.

https://access.redhat.com/errata/RHBA-2019:2610