I've been using the slugorfilename permalink token to strip out the first section, like so:

permalinks:
  page:
    foo: /:sections[1:]/:slugorfilename/
  section:
    foo: /:sections[1:]/:slugorfilename/

After getting warnings that this is deprecated, and I should use slugorcontentbasename instead, I tried it. But this seems to generate an additional subdirectory for section pages where the slugorfilename did not:

permalinks:
  page:
    foo: /:sections[1:]/:slugorcontentbasename/
  section:
    foo: /:sections[1:]/:slugorcontentbasename/

I.e., given content pages like this:

$ tree content/
content/
└── foo
    ├── _index.md
    └── bar
        ├── _index.md
        └── somepage.md

3 directories, 3 files

The html output for content/bar/_index.md is generated at public/bar/bar/html:

$ tree public/
public/
├── bar
│   ├── bar
│   │   └── index.html
│   └── somepage
│       └── index.html
└── foo
    └── index.html

5 directories, 3 files

See repro: https://github.com/dvdksn/contentbasename

What version of Hugo are you using (hugo version)?

$ hugo version
v0.152.2

Does this issue reproduce with the latest release?

yes