diff --git a/CHANGELOG.md b/CHANGELOG.md
index 91220001c..ce837bfa3 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -50,7 +50,8 @@ This file is used to list changes made in each version of the AWS ParallelCluste
 **BUG FIXES**
 - Fix inconsistent scaling configuration after cluster update rollback when modifying the list of instance types declared in the Compute Resources.
 - Fix users SSH keys generation when switching users without root privilege in clusters integrated with an external LDAP server through cluster configuration files.
-- Fix disabling Slurm power save mode when setting ScaledownIdletime = -1 
+- Fix disabling Slurm power save mode when setting ScaledownIdletime = -1
+- Fix hard-coded path to Slurm installation dir in `update_slurm_database_password.sh` script for Slurm Accounting.
 
 3.7.2
 ------
diff --git a/cookbooks/aws-parallelcluster-slurm/recipes/config/config_slurm_accounting.rb b/cookbooks/aws-parallelcluster-slurm/recipes/config/config_slurm_accounting.rb
index 28085edd7..a432e9a61 100644
--- a/cookbooks/aws-parallelcluster-slurm/recipes/config/config_slurm_accounting.rb
+++ b/cookbooks/aws-parallelcluster-slurm/recipes/config/config_slurm_accounting.rb
@@ -37,7 +37,8 @@
   mode '0700'
   variables(
     secret_arn: lazy { node['cluster']['config'].dig(:Scheduling, :SlurmSettings, :Database, :PasswordSecretArn) },
-    region: node['cluster']['region']
+    region: node['cluster']['region'],
+    slurm_install_dir: node['cluster']['slurm']['install_dir']
   )
   sensitive true
 end
diff --git a/cookbooks/aws-parallelcluster-slurm/templates/default/slurm/head_node/update_slurm_database_password.sh.erb b/cookbooks/aws-parallelcluster-slurm/templates/default/slurm/head_node/update_slurm_database_password.sh.erb
index 42d3d42d6..3bb3055f8 100644
--- a/cookbooks/aws-parallelcluster-slurm/templates/default/slurm/head_node/update_slurm_database_password.sh.erb
+++ b/cookbooks/aws-parallelcluster-slurm/templates/default/slurm/head_node/update_slurm_database_password.sh.erb
@@ -10,7 +10,7 @@
 
 set -e
 
-SLURMDBD_CONFIG_FILE="/opt/slurm/etc/slurm_parallelcluster_slurmdbd.conf"
+SLURMDBD_CONFIG_FILE="<%= @slurm_install_dir %>/etc/slurm_parallelcluster_slurmdbd.conf"
 SLURMDBD_PROPERTY="StoragePass"
 SECRET_ARN="<%= @secret_arn %>"
 REGION="<%= @region %>"