diff --git a/gcc/ChangeLog b/gcc/ChangeLog
index 3f090881a40..e488f0f878e 100644
--- a/gcc/ChangeLog
+++ b/gcc/ChangeLog
@@ -1,5 +1,8 @@
 2000-09-07  Alexandre Oliva  <aoliva@redhat.com>
 
+	* config/sh/sh.h (OVERRIDE_OPTIONS): Don't disable function
+	CSE unless generating PIC.
+
 	* config/sh/sh.md (symPLT_label2reg): Force the initialization of
 	the PIC register.
 
diff --git a/gcc/config/sh/sh.h b/gcc/config/sh/sh.h
index feb58530deb..6e73788e22e 100644
--- a/gcc/config/sh/sh.h
+++ b/gcc/config/sh/sh.h
@@ -266,7 +266,7 @@ do {									\
    else									\
     flag_omit_frame_pointer = 0;					\
 									\
-  if (! TARGET_PREFERGOT)						\
+  if (flag_pic && ! TARGET_PREFERGOT)					\
     flag_no_function_cse = 1;						\
 									\
   /* Never run scheduling before reload, since that can			\