The reason that the faders all jump to unity when pressing O is because you have entered offset mode and unless you change a fader in that mode you haven't actually offset anything yet.
If you are sure offset mode is not causing the problem I would leave well alone for now. Offset mode is there to allow you to make overall adjustments of a track without affecting existing automation. i.e. If you lower a volume fader by -3dB in offset mode you are effectively lowering every node on that tracks volume envelope by 3dB even though that isn't reflected in envelope mode. More confusingly, perhaps is that changes made in offset mode aren't reflected in envelope mode either.
I'm a little confused as to what you are seeing exactly. Any chance you can do a screen capture so we can see a video?