I have the same problem as well. I've discovered that if I make the account an Administrative account, Internet Explorer will work for that session. I then go and change the account back to a normal account, and everything works fine until the machine is restarted. After a restart, those accounts can no longer use Internet Explorer.
So for the short term, give them admin rights, have them logon and Internet Explorer will work. If you don't care about those accounts having Admin rights, just keep it that way and Internet Explorer will always work. If you want to change them back to a normal account, do so after they startup Internet Explorer. It will continue to work until the next reboot.
Hopefully Microsoft will fix this bug soon.