Tested on two different computers.
The controller connects to my computer just fine and it works with other software. On Kodi, nothing happens. Pushing buttons on the controller does nothing. Going into the new button mapping screen and trying to map buttons doesn’t work.
Logs: http://paste.ubuntu.com/24278952/
Steps to reproduce:
Do a clean install of Xubuntu 16.04
Install Kodi from team-xbmc ppa
Try to use Xbox 360 Wireless Controller