diff --git a/pkg/controllers/jobset_controller.go b/pkg/controllers/jobset_controller.go
index 1b355c2ff..490a1bb2a 100644
--- a/pkg/controllers/jobset_controller.go
+++ b/pkg/controllers/jobset_controller.go
@@ -45,8 +45,9 @@ const (
 )
 
 var (
-	jobOwnerKey = ".metadata.controller"
-	apiGVStr    = jobset.GroupVersion.String()
+	jobOwnerKey                        = ".metadata.controller"
+	apiGVStr                           = jobset.GroupVersion.String()
+	JobConditionReasonPodFailurePolicy = "PodFailurePolicy"
 )
 
 // JobSetReconciler reconciles a JobSet object
@@ -459,12 +460,30 @@ func (r *JobSetReconciler) executeFailurePolicy(ctx context.Context, js *jobset.
 }
 
 func (r *JobSetReconciler) executeRestartPolicy(ctx context.Context, js *jobset.JobSet, ownedJobs *childJobs) error {
-	if js.Spec.FailurePolicy.MaxRestarts == 0 {
+	if js.Spec.FailurePolicy.MaxRestarts == 0 || r.triggeredPodFailurePolicy(ctx, js, ownedJobs) {
 		return r.failJobSet(ctx, js)
 	}
 	return r.restartPolicyRecreateAll(ctx, js, ownedJobs)
 }
 
+// If a child job has failed due to triggering a PodFailurePolicy,
+// we should fail the JobSet immediately rather than restarting.
+// This allows the user to configure a PodFailurePolicy such that
+// job failures under certain conditions do not cause the JobSet to
+// restart, while others do.
+func (r *JobSetReconciler) triggeredPodFailurePolicy(ctx context.Context, js *jobset.JobSet, ownedJobs *childJobs) bool {
+	log := ctrl.LoggerFrom(ctx)
+	for _, failedJob := range ownedJobs.failed {
+		for _, c := range failedJob.Status.Conditions {
+			if c.Reason == JobConditionReasonPodFailurePolicy {
+				log.V(2).Info("jobset %s child job %s failed due to triggering a PodFailurePolicy", js.Name, failedJob.Name)
+				return true
+			}
+		}
+	}
+	return false
+}
+
 func (r *JobSetReconciler) restartPolicyRecreateAll(ctx context.Context, js *jobset.JobSet, ownedJobs *childJobs) error {
 	log := ctrl.LoggerFrom(ctx)
 
diff --git a/test/integration/controller/jobset_controller_test.go b/test/integration/controller/jobset_controller_test.go
index 8e8db9611..0e00e8912 100644
--- a/test/integration/controller/jobset_controller_test.go
+++ b/test/integration/controller/jobset_controller_test.go
@@ -396,6 +396,32 @@ var _ = ginkgo.Describe("JobSet controller", func() {
 				},
 			},
 		}),
+		ginkgo.Entry("child job fails due to triggering PodFailurePolicy", &testCase{
+			makeJobSet: func(ns *corev1.Namespace) *testing.JobSetWrapper {
+				// Set up JobSet which allows up to 3 restarts.
+				return testJobSet(ns).
+					FailurePolicy(&jobset.FailurePolicy{
+						MaxRestarts: 3,
+					})
+			},
+			updates: []*update{
+				{
+					jobUpdateFn: func(jobList *batchv1.JobList) {
+						ginkgo.By("fail job with condition reason indicating it matched a podFailurePolicy")
+						job := &jobList.Items[0]
+						updateJobStatusConditions(job, batchv1.JobStatus{
+							Conditions: append(job.Status.Conditions, batchv1.JobCondition{
+								Type:   batchv1.JobFailed,
+								Status: corev1.ConditionTrue,
+								Reason: controllers.JobConditionReasonPodFailurePolicy,
+							}),
+						})
+					},
+					// check JobSet fails immediately without restarting.
+					checkJobSetCondition: testutil.JobSetFailed,
+				},
+			},
+		}),
 		ginkgo.Entry("job succeeds after one failure", &testCase{
 			makeJobSet: func(ns *corev1.Namespace) *testing.JobSetWrapper {
 				return testJobSet(ns).