diff --git a/.github/workflows/server-build.yml b/.github/workflows/server-build.yml
index fc41d7b9b0..89202df576 100644
--- a/.github/workflows/server-build.yml
+++ b/.github/workflows/server-build.yml
@@ -73,16 +73,37 @@ jobs:
 
       # In case this is second attempt try restoring status of the prior attempt from cache
       - name: Restore the previous run result
+        id: cache-appsmith
         uses: actions/cache@v3
         with:
           path: |
             ~/run_result
-          key: ${{ github.run_id }}-${{ github.job }}-server
+          key: ${{ github.run_id }}-${{ github.job }}-server-junit
 
       # Fetch prior run result
       - name: Get the previous run result
         id: run_result
-        run: cat ~/run_result 2>/dev/null || echo 'default'
+        run: |
+          if [ -f ~/run_result ]; then
+            echo "run_result=$(cat ~/run_result)" >> $GITHUB_OUTPUT
+          else
+            echo "run_result=default" >> $GITHUB_OUTPUT
+          fi
+
+      - name: Download the failed test artifact in case of rerun
+        if: steps.run_result.outputs.run_result == 'failedtest'
+        uses: actions/download-artifact@v3
+        with:
+          name: failed-server-tests
+          path: ~/failed-server-tests
+
+      - name: Extract the tests for rerun
+        id: failed_tests
+        if: steps.run_result.outputs.run_result == 'failedtest'
+        run: |
+          failed_tests=$(awk '$0 != "" && !seen[$0]++ {printf("%s%s",sep,$0); sep=","}' ~/failed-server-tests/failed-server-tests.txt)
+          echo "$failed_tests"
+          echo "tests=$failed_tests" >> $GITHUB_OUTPUT
 
       # In case of prior failure run the job
       - if: steps.run_result.outputs.run_result != 'success'
@@ -125,8 +146,8 @@ jobs:
           echo version=$next_version-SNAPSHOT >> $GITHUB_OUTPUT
           echo tag=$(echo ${GITHUB_REF:11}) >> $GITHUB_OUTPUT
 
-      # Build and test the code
-      - name: Build and test
+      # Build the code
+      - name: Build
         if: steps.run_result.outputs.run_result != 'success'
         env:
           ACTIVE_PROFILE: test
@@ -140,16 +161,50 @@ jobs:
           APPSMITH_ENVFILE_PATH: /tmp/dummy.env
           APPSMITH_VERBOSE_LOGGING_ENABLED: false
         run: |
-          if [[ "${{ inputs.skip-tests }}" == "true" ]]
-          then
-            args=-DskipTests
-          fi
           mvn --batch-mode versions:set \
             -DnewVersion=${{ steps.vars.outputs.version }} \
             -DgenerateBackupPoms=false \
             -DprocessAllModules=true
-          args="$args -DtestResultFile=$PWD/failed-server-tests.txt"
-          ./build.sh $args
+          ./build.sh -DskipTests
+
+      # Test the code
+      - name: Run only tests
+        if: inputs.skip-tests != 'true' || steps.run_result.outputs.run_result == 'failedtest'
+        env:
+          ACTIVE_PROFILE: test
+          APPSMITH_MONGODB_URI: "mongodb://localhost:27017/mobtools"
+          APPSMITH_CLOUD_SERVICES_BASE_URL: "https://release-cs.appsmith.com"
+          APPSMITH_CLOUD_SERVICES_TEMPLATE_UPLOAD_AUTH: ${{ secrets.APPSMITH_CLOUD_SERVICES_TEMPLATE_UPLOAD_AUTH }}
+          APPSMITH_REDIS_URL: "redis://127.0.0.1:6379"
+          APPSMITH_ENCRYPTION_PASSWORD: "password"
+          APPSMITH_ENCRYPTION_SALT: "salt"
+          APPSMITH_IS_SELF_HOSTED: false
+          APPSMITH_ENVFILE_PATH: /tmp/dummy.env
+          APPSMITH_VERBOSE_LOGGING_ENABLED: false
+        run: |
+          args=()
+          if [[ "${{ steps.run_result.outputs.run_result }}" == "failedtest" ]]; then
+            failed_tests="${{ steps.failed_tests.outputs.tests }}"
+            args+=("-DfailIfNoTests=false" "-Dtest=${failed_tests}")
+          fi
+          args+=("-DtestResultFile=$PWD/failed-server-tests.txt")
+          mvn test "${args[@]}"
+
+      # Set status = failedtest
+      - name: Set fail if there are test failures
+        if: failure()
+        run: |
+          echo "run_result=failedtest" >> $GITHUB_OUTPUT
+          echo "failedtest" > ~/run_result
+
+      # Force store previous run result to cache
+      - name: Store the previous run result
+        if: failure()
+        uses: actions/cache/save@v3
+        with:
+          path: |
+            ~/run_result
+          key: ${{ github.run_id }}-${{ github.job }}-server-junit
 
       - name: Upload the failed tests report
         if: always()