We have a strange one at the moment where emails are not being generated for the automatic assignees of a particular project.
The notification scheme is definitely set to notify the assignee on creation.
Thanks for the replies.
This was caused by the assignee not having the necessary permissions to view the Issue which means that JIRA won't send them an email. The default assignee in this case was a virtual group email alias and a manager was "tighening" up security and went a bit too far and removed the necessary permissions for all such virtual users.
Do the default reporter and assignee happen to be the same user? In this case, notifications might get blocked by the "Do not notify me" value under the users profile option "My Changes" (click avatar in top right > Profile > Preferences)
To add to Mick's answer, this notification setting can also be set globally. Under Administration > User Preferences (or type 'gg' then in the popup box type 'User preferences') set the "Notify users of their own changes" to YES.
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