Unable to start sshd service and other systemd servics in Red Hat Enterprise Linux 9 (CentOS9)

I am seeing the below issues in CentOS-9 running on LXC container. Previous versions such as centos-7/8 works fine.

sshd[131]: fatal: chroot("/usr/share/empty.sshd"): Operation not permitted [preauth]

systemd[92]: dbus-broker.service: Failed to set up mount namespacing: Operation not permitted
systemd[92]: dbus-broker.service: Failed at step NAMESPACE spawning /usr/bin/dbus-broker-launch: Operation not permitted

systemd[66]: rsyslog.service: Failed to set up mount namespacing: Operation not permitted
systemd[66]: rsyslog.service: Failed at step NAMESPACE spawning /usr/sbin/rsyslogd: Operation not permitted

systemd[1]: systemd-logind.service: Failed to run 'start' task: Not a directory
systemd[1]: systemd-logind.service: Failed with result 'resources'.
systemctl list-units --failed
  UNIT                   LOAD   ACTIVE SUB    DESCRIPTION
● dbus-broker.service    loaded failed failed D-Bus System Message Bus
● dnf-makecache.service  loaded failed failed dnf makecache
● rsyslog.service        loaded failed failed System Logging Service
● systemd-logind.service loaded failed failed User Login Management
● dbus.socket            loaded failed failed D-Bus System Message Bus Socket
SELinux is disabled.

$getenforce
Disabled

Here are the versions of systemctl and dbus-broker:

$systemctl --version
systemd 252 (252-38.el9)
+PAM +AUDIT +SELINUX -APPARMOR +IMA +SMACK +SECCOMP +GCRYPT +GNUTLS +OPENSSL +ACL +BLKID +CURL +ELFUTILS -FIDO2 +IDN2 -IDN -IPTC +KMOD +LIBCRYPTSETUP +LIBFDISK +PCRE2 -PWQUALITY +P11KIT -QRENCODE +TPM2 +BZIP2 +LZ4 +XZ +ZLIB +ZSTD -BPF_FRAMEWORK +XKBCOMMON +UTMP +SYSVINIT default-hierarchy=unified

$dbus-broker --version
dbus-broker 28