1) have a drive substitution in place like "subst d: e:\d"

2) use custom workspace in job configuration and set it to "d:\myjob" (Note: d:\myjob exists and is accessible for cmd and explorer)

However, the job throws an IOException:
Started by user test
java.io.IOException: Failed to mkdirs: d:\myjob
at hudson.FilePath.mkdirs(FilePath.java:817)
at hudson.model.AbstractProject.checkout(AbstractProject.java:1179)
at hudson.model.AbstractBuild$AbstractRunner.checkout(AbstractBuild.java:536)
at hudson.model.AbstractBuild$AbstractRunner.run(AbstractBuild.java:424)
at hudson.model.Run.run(Run.java:1375)
at hudson.model.FreeStyleBuild.run(FreeStyleBuild.java:46)
at hudson.model.ResourceController.execute(ResourceController.java:88)
at hudson.model.Executor.run(Executor.java:145)
Notifying upstream projects of job completion
Finished: FAILURE