Zeroed both characters using the button in the joint editor panel, before creating and applying the morph. Still happens. Here are the screenshots of my settings. Happens in Poser 6 and 8, which means its not a Poser 8 bug, but me being thick.

Daz Studio 4.8 and 4.9beta, Blender 2.78, Sketchup, Poser Pro 2014 Game Dev SR5 on Windows 8 Pro x64. Poser Display Units are inches