diff --git a/stable/postgresql/Chart.yaml b/stable/postgresql/Chart.yaml
index 3ccef208ed..4058212292 100644
--- a/stable/postgresql/Chart.yaml
+++ b/stable/postgresql/Chart.yaml
@@ -1,6 +1,6 @@
 apiVersion: v1
 name: postgresql
-version: 3.18.4
+version: 4.0.0
 appVersion: 10.7.0
 description: Chart for PostgreSQL, an object-relational database management system (ORDBMS) with an emphasis on extensibility and on standards-compliance.
 keywords:
diff --git a/stable/postgresql/README.md b/stable/postgresql/README.md
index 0d2f4a9d55..71fed6f19b 100644
--- a/stable/postgresql/README.md
+++ b/stable/postgresql/README.md
@@ -298,6 +298,16 @@ This way, the credentials will be available in all of the subcharts.
 
 ## Upgrade
 
+### 4.0.0
+
+This chart will use by default the Bitnami PostgreSQL container starting from version `10.7.0-r68`. This version moves the initialization logic from node.js to bash. This new version of the chart requires setting the `POSTGRES_PASSWORD` in the slaves as well, in order to properly configure the `pg_hba.conf` file. Users from previous versions of the chart are advised to upgrade immediately.
+
+IMPORTANT: If you do not want to upgrade the chart version then make sure you use the `10.7.0-r68` version of the container. Otherwise, you will get this error
+
+```
+The POSTGRESQL_PASSWORD environment variable is empty or not set. Set the environment variable ALLOW_EMPTY_PASSWORD=yes to allow the container to be started with blank passwords. This is recommended only for development
+```
+
 ### 3.0.0
 
 This releases make it possible to specify different nodeSelector, affinity and tolerations for master and slave pods.
diff --git a/stable/postgresql/templates/statefulset-slaves.yaml b/stable/postgresql/templates/statefulset-slaves.yaml
index 23cee0bc1d..04fee94ce6 100644
--- a/stable/postgresql/templates/statefulset-slaves.yaml
+++ b/stable/postgresql/templates/statefulset-slaves.yaml
@@ -116,6 +116,16 @@ spec:
           value: {{ template "postgresql.fullname" . }}
         - name: POSTGRES_MASTER_PORT_NUMBER
           value: {{ include "postgresql.port" . | quote }}
+        {{- if .Values.usePasswordFile }}
+        - name: POSTGRES_PASSWORD_FILE
+          value: "/opt/bitnami/postgresql/secrets/postgresql-password"
+        {{- else }}
+        - name: POSTGRES_PASSWORD
+          valueFrom:
+            secretKeyRef:
+              name: {{ template "postgresql.secretName" . }}
+              key: postgresql-password
+        {{- end }}
         ports:
         - name: postgresql
           containerPort: {{ template "postgresql.port" . }}
diff --git a/stable/postgresql/values-production.yaml b/stable/postgresql/values-production.yaml
index dcae215c24..8a27e7dc98 100644
--- a/stable/postgresql/values-production.yaml
+++ b/stable/postgresql/values-production.yaml
@@ -96,7 +96,7 @@ postgresqlUsername: postgres
 ## PostgreSQL data dir
 ## ref: https://github.com/bitnami/bitnami-docker-postgresql/blob/master/README.md
 ##
-postgresqlDataDir: /bitnami/postgresql
+postgresqlDataDir: /bitnami/postgresql/data
 
 ## Specify extra initdb args
 ## ref: https://github.com/bitnami/bitnami-docker-postgresql/blob/master/README.md
diff --git a/stable/postgresql/values.yaml b/stable/postgresql/values.yaml
index d4a25d45df..82f965778b 100644
--- a/stable/postgresql/values.yaml
+++ b/stable/postgresql/values.yaml
@@ -102,7 +102,7 @@ postgresqlUsername: postgres
 ## PostgreSQL data dir
 ## ref: https://github.com/bitnami/bitnami-docker-postgresql/blob/master/README.md
 ##
-postgresqlDataDir: /bitnami/postgresql
+postgresqlDataDir: /bitnami/postgresql/data
 
 ## Specify extra initdb args
 ## ref: https://github.com/bitnami/bitnami-docker-postgresql/blob/master/README.md