diff --git a/flytekit/core/workflow.py b/flytekit/core/workflow.py
index 108b323a48..0f25374717 100644
--- a/flytekit/core/workflow.py
+++ b/flytekit/core/workflow.py
@@ -288,7 +288,8 @@ def __call__(self, *args, **kwargs) -> Union[Tuple[Promise], Promise, VoidPromis
         except Exception as exc:
             if self.on_failure:
                 if self.on_failure.python_interface and "err" in self.on_failure.python_interface.inputs:
-                    input_kwargs["err"] = FlyteError(failed_node_id="", message=str(exc))
+                    id = self.failure_node.id if self.failure_node else ""
+                    input_kwargs["err"] = FlyteError(failed_node_id=id, message=str(exc))
                 self.on_failure(**input_kwargs)
             raise exc
 
diff --git a/tests/flytekit/unit/core/test_workflows.py b/tests/flytekit/unit/core/test_workflows.py
index f0ba150f73..60daf80af9 100644
--- a/tests/flytekit/unit/core/test_workflows.py
+++ b/tests/flytekit/unit/core/test_workflows.py
@@ -2,6 +2,7 @@
 import sys
 import typing
 from collections import OrderedDict
+from unittest.mock import patch
 
 import pytest
 from typing_extensions import Annotated  # type: ignore
@@ -15,6 +16,7 @@
 from flytekit.core.workflow import WorkflowFailurePolicy, WorkflowMetadata, WorkflowMetadataDefaults, workflow
 from flytekit.exceptions.user import FlyteValidationException, FlyteValueException
 from flytekit.tools.translator import get_serializable
+from flytekit.types.error.error import FlyteError
 
 default_img = Image(name="default", fqn="test", tag="tag")
 serialization_settings = flytekit.configuration.SerializationSettings(
@@ -51,7 +53,7 @@ def t1(a: int) -> typing.NamedTuple("OutputsBC", [("t1_int_output", int), ("c",
     @workflow(interruptible=True, failure_policy=WorkflowFailurePolicy.FAIL_AFTER_EXECUTABLE_NODES_COMPLETE)
     def wf(a: int) -> typing.Tuple[str, str]:
         x, y = t1(a=a)
-        u, v = t1(a=x)
+        _, v = t1(a=x)
         return y, v
 
     wf_spec = get_serializable(OrderedDict(), serialization_settings, wf)
@@ -435,3 +437,47 @@ def wf():
             t4()
 
         assert ctx.compilation_state is None
+
+
+@patch("builtins.print")
+def test_failure_node_local_execution(mock_print):
+    @task
+    def clean_up(name: str, err: typing.Optional[FlyteError] = None):
+        print(f"Deleting cluster {name} due to {err}")
+        print("This is err:", str(err))
+
+    @task
+    def create_cluster(name: str):
+        print(f"Creating cluster: {name}")
+
+    @task
+    def delete_cluster(name: str, err: typing.Optional[FlyteError] = None):
+        print(f"Deleting cluster {name}")
+        print(err)
+
+    @task
+    def t1(a: int, b: str):
+        print(f"{a} {b}")
+        raise ValueError("Fail!")
+
+    @workflow(on_failure=clean_up)
+    def wf(name: str = "flyteorg"):
+        c = create_cluster(name=name)
+        t = t1(a=1, b="2")
+        d = delete_cluster(name=name)
+        c >> t >> d
+
+    with pytest.raises(ValueError):
+        wf()
+
+    # Adjusted the error message to match the one in the failure
+    expected_error_message = str(
+        FlyteError(message="Error encountered while executing 'wf':\n  Fail!", failed_node_id="fn0")
+    )
+
+    assert mock_print.call_count > 0
+
+    mock_print.assert_any_call("Creating cluster: flyteorg")
+    mock_print.assert_any_call("1 2")
+    mock_print.assert_any_call(f"Deleting cluster flyteorg due to {expected_error_message}")
+    mock_print.assert_any_call("This is err:", expected_error_message)