diff --git a/src/posixos.c b/src/posixos.c
index 2629cd82..3ab487c1 100644
--- a/src/posixos.c
+++ b/src/posixos.c
@@ -115,6 +115,7 @@ jobserver_setup (int slots, const char *style)
         {
           perror_with_name("jobserver mkfifo: ", fifo_name);
           free (fifo_name);
+          fifo_name = NULL;
         }
       else
         {
diff --git a/tests/scripts/features/jobserver b/tests/scripts/features/jobserver
index 7044c51a..17374eaf 100644
--- a/tests/scripts/features/jobserver
+++ b/tests/scripts/features/jobserver
@@ -131,4 +131,19 @@ all a: ; @echo $@
               '--jobserver-style=foo -j8',
               "#MAKE#: *** Unknown jobserver auth style 'foo'.  Stop.", 512);
 
+# sv 62908.
+# Test that when mkfifo fails, make switches to pipe and succeeds.
+# Force mkfifo to fail by attempting to create a fifo in a non existent
+# directory.
+# run_make_test does not allow matching a multiline pattern, therefore run the
+# test twice.
+# First time look for /$ERR_no_such_file/ to ensure mkfifo failed.
+# Second time look for /Nothing to be done/ to ensure make succeeded.
+$ENV{TMPDIR} = "nosuchdir";
+run_make_test("all:\n", '-j2', "/$ERR_no_such_file/");
+
+$ENV{TMPDIR} = "nosuchdir";
+run_make_test(undef, '-j2', "/Nothing to be done/");
+
+
 1;