It's a bit alien to me. Where I went to school, you used get scores from 1(lowest)- to 10 (highest) where 6 is "Acceptable". You could curve the questions, but not the students. So theoretically the whole class could all score 1s, or all could score 10s. This makes more sense to me, if everyone works hard, they should all succeed, and if they're all lazy they should fail.
You couldn't arbitrarily decide that exactly 20% gets -say- an 8. I've always wondered what the steelman is for curve grading.