diff --git a/buildpacks/ruby/CHANGELOG.md b/buildpacks/ruby/CHANGELOG.md
index 7f7d9d5e..4fe45c9e 100644
--- a/buildpacks/ruby/CHANGELOG.md
+++ b/buildpacks/ruby/CHANGELOG.md
@@ -7,6 +7,10 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 
 ## [Unreleased]
 
+### Fixed
+
+- A bug introduced in 4.0.0 would result in incorrectly skipping running `bundle install` when the `Gemfile` or `Gemfile.lock` or environment variables had changed. The bug is now fixed. ([#364](https://github.com/heroku/buildpacks-ruby/pull/364))
+
 ## [4.0.0] - 2024-11-27
 
 ### Changed
diff --git a/buildpacks/ruby/src/layers/shared.rs b/buildpacks/ruby/src/layers/shared.rs
index 58854211..f7dcc3dc 100644
--- a/buildpacks/ruby/src/layers/shared.rs
+++ b/buildpacks/ruby/src/layers/shared.rs
@@ -38,7 +38,7 @@ pub(crate) trait MetadataDiff {
 
 /// Standardizes formatting for layer cache clearing behavior
 ///
-/// If the diff is empty, there are no changes and the layer is kept
+/// If the diff is empty, there are no changes and the layer is kept and the old data is returned
 /// If the diff is not empty, the layer is deleted and the changes are listed
 pub(crate) fn restored_layer_action<M>(old: &M, now: &M) -> (RestoredLayerAction, Meta<M>)
 where
@@ -46,7 +46,7 @@ where
 {
     let diff = now.diff(old);
     if diff.is_empty() {
-        (RestoredLayerAction::KeepLayer, Meta::Data(now.clone()))
+        (RestoredLayerAction::KeepLayer, Meta::Data(old.clone()))
     } else {
         (
             RestoredLayerAction::DeleteLayer,
@@ -222,6 +222,35 @@ mod tests {
     }
     migrate_toml_chain! {TestMetadata}
 
+    #[test]
+    fn test_restored_layer_action_returns_old_data() {
+        #[derive(Debug, Clone)]
+        struct AlwaysNoDiff {
+            value: String,
+        }
+
+        impl MetadataDiff for AlwaysNoDiff {
+            fn diff(&self, _: &Self) -> Vec<String> {
+                vec![]
+            }
+        }
+
+        let old = AlwaysNoDiff {
+            value: "old".to_string(),
+        };
+        let now = AlwaysNoDiff {
+            value: "now".to_string(),
+        };
+
+        let result = restored_layer_action(&old, &now);
+        match result {
+            (RestoredLayerAction::KeepLayer, Meta::Data(data)) => {
+                assert_eq!(data.value, "old");
+            }
+            _ => panic!("Expected to keep layer"),
+        }
+    }
+
     #[test]
     fn test_cached_layer_write_metadata_restored_layer_action() {
         let temp = tempfile::tempdir().unwrap();