diff --git a/gclient.py b/gclient.py
index 325517bbb..ba75b7820 100755
--- a/gclient.py
+++ b/gclient.py
@@ -793,6 +793,10 @@ class Dependency(gclient_utils.WorkItem, DependencySettings):
         self._postprocess_deps(deps, rel_prefix), self._use_relative_paths)
 
     # compute which working directory should be used for hooks
+    if local_scope.get('use_relative_hooks', False):
+      print('use_relative_hooks is deprecated, please remove it from DEPS. ' +
+            '(it was merged in use_relative_paths)', file=sys.stderr)
+
     hooks_cwd = self.root.root_dir
     if self._use_relative_paths:
       hooks_cwd = os.path.join(hooks_cwd, self.name)
diff --git a/gclient_eval.py b/gclient_eval.py
index 8cf91f012..c0098e4d4 100644
--- a/gclient_eval.py
+++ b/gclient_eval.py
@@ -235,6 +235,10 @@ _GCLIENT_SCHEMA = schema.Schema(
         # file.
         schema.Optional('use_relative_paths'): bool,
 
+        # For recursed-upon sub-dependencies, run their hooks relative to the
+        # parent's path instead of relative to the .gclient file.
+        schema.Optional('use_relative_hooks'): bool,
+
         # Variables that can be referenced using Var() - see 'deps'.
         schema.Optional('vars'): _NodeDictSchema({
             schema.Optional(basestring): schema.Or(ConstantString,