diff --git a/Makefile b/Makefile
index e32c8822406..0097425d38c 100644
--- a/Makefile
+++ b/Makefile
@@ -179,7 +179,7 @@ test: gotestsum ## Run tests.
 .PHONY: test-integration
 test-integration: gomod-download envtest ginkgo mpi-operator-crd ray-operator-crd jobset-operator-crd kf-training-operator-crd  cluster-autoscaler-crd ## Run tests.
 	KUBEBUILDER_ASSETS="$(shell $(ENVTEST) use $(ENVTEST_K8S_VERSION) -p path)" \
-	$(GINKGO) $(GINKGO_ARGS) --until-it-fails -procs=$(INTEGRATION_NPROCS) --junit-report=junit.xml --output-dir=$(ARTIFACTS) -v $(INTEGRATION_TARGET)
+	$(GINKGO) $(GINKGO_ARGS) -procs=$(INTEGRATION_NPROCS) --junit-report=junit.xml --output-dir=$(ARTIFACTS) -v $(INTEGRATION_TARGET)
 
 CREATE_KIND_CLUSTER ?= true
 .PHONY: test-e2e
diff --git a/pkg/queue/cluster_queue_impl.go b/pkg/queue/cluster_queue_impl.go
index dc3662cb6b9..8dacbe13dbb 100644
--- a/pkg/queue/cluster_queue_impl.go
+++ b/pkg/queue/cluster_queue_impl.go
@@ -51,6 +51,10 @@ type clusterQueueBase struct {
 	// of inadmissible workloads while a workload is being scheduled.
 	popCycle int64
 
+	// keeps the ptr to the element that is currently being scheduled. It is still
+	// counted as pending.
+	inScheduling *workload.Info
+
 	// queueInadmissibleCycle stores the popId at the time when
 	// QueueInadmissibleWorkloads is called.
 	queueInadmissibleCycle int64
@@ -150,9 +154,12 @@ func (c *clusterQueueBase) backoffWaitingTimeExpired(wInfo *workload.Info) bool
 }
 
 func (c *clusterQueueBase) Delete(w *kueue.Workload) {
+	c.rwm.Lock()
+	defer c.rwm.Unlock()
 	key := workload.Key(w)
 	delete(c.inadmissibleWorkloads, key)
 	c.heap.Delete(key)
+	c.cleanInScheduling(key)
 }
 
 func (c *clusterQueueBase) DeleteFromLocalQueue(q *LocalQueue) {
@@ -178,6 +185,7 @@ func (c *clusterQueueBase) requeueIfNotPresent(wInfo *workload.Info, immediate b
 	c.rwm.Lock()
 	defer c.rwm.Unlock()
 	key := workload.Key(wInfo.Obj)
+	c.cleanInScheduling(key)
 	if c.backoffWaitingTimeExpired(wInfo) &&
 		(immediate || c.queueInadmissibleCycle >= c.popCycle || wInfo.LastAssignment.PendingFlavors()) {
 		// If the workload was inadmissible, move it back into the queue.
@@ -202,6 +210,12 @@ func (c *clusterQueueBase) requeueIfNotPresent(wInfo *workload.Info, immediate b
 	return true
 }
 
+func (c *clusterQueueBase) cleanInScheduling(key string) {
+	if c.inScheduling != nil && workload.Key(c.inScheduling.Obj) == key {
+		c.inScheduling = nil
+	}
+}
+
 // QueueInadmissibleWorkloads moves all workloads from inadmissibleWorkloads to heap.
 // If at least one workload is moved, returns true, otherwise returns false.
 func (c *clusterQueueBase) QueueInadmissibleWorkloads(ctx context.Context, client client.Client) bool {
@@ -235,7 +249,11 @@ func (c *clusterQueueBase) Pending() int {
 }
 
 func (c *clusterQueueBase) PendingActive() int {
-	return c.heap.Len()
+	result := c.heap.Len()
+	if c.inScheduling != nil {
+		result += 1
+	}
+	return result
 }
 
 func (c *clusterQueueBase) PendingInadmissible() int {
@@ -247,10 +265,11 @@ func (c *clusterQueueBase) Pop() *workload.Info {
 	defer c.rwm.Unlock()
 	c.popCycle++
 	if c.heap.Len() == 0 {
+		c.inScheduling = nil
 		return nil
 	}
-
-	return c.heap.Pop()
+	c.inScheduling = c.heap.Pop()
+	return c.inScheduling
 }
 
 func (c *clusterQueueBase) Dump() ([]string, bool) {
@@ -302,6 +321,9 @@ func (c *clusterQueueBase) totalElements() []*workload.Info {
 	for _, e := range c.inadmissibleWorkloads {
 		elements = append(elements, e)
 	}
+	if c.inScheduling != nil {
+		elements = append(elements, c.inScheduling)
+	}
 	return elements
 }
 
diff --git a/test/integration/scheduler/scheduler_test.go b/test/integration/scheduler/scheduler_test.go
index b9f0d817f80..128af321933 100644
--- a/test/integration/scheduler/scheduler_test.go
+++ b/test/integration/scheduler/scheduler_test.go
@@ -1724,7 +1724,7 @@ var _ = ginkgo.Describe("Scheduler", func() {
 		})
 	})
 
-	ginkgo.FWhen("Queueing when mutating queueingStrategy", func() {
+	ginkgo.FWhen("Queueing with StrictFIFO", func() {
 		var (
 			cq         *kueue.ClusterQueue
 			localQueue *kueue.LocalQueue
@@ -1748,7 +1748,7 @@ var _ = ginkgo.Describe("Scheduler", func() {
 			util.ExpectResourceFlavorToBeDeleted(ctx, k8sClient, onDemandFlavor, true)
 		})
 
-		ginkgo.It("Should schedule workloads by their priority strictly", func() {
+		ginkgo.It("Should report pending workloads properly when blocked", func() {
 			var wl1, wl2, wl3 *kueue.Workload
 			ginkgo.By("Creating workloads", func() {
 				wl1 = testing.MakeWorkload("wl1", ns.Name).Queue(localQueue.
@@ -1781,6 +1781,11 @@ var _ = ginkgo.Describe("Scheduler", func() {
 				util.ExpectWorkloadsToBeAdmitted(ctx, k8sClient, wl1)
 				util.ExpectWorkloadsToBePending(ctx, k8sClient, wl2)
 				util.ExpectPendingWorkloadsMetric(cq, 2, 0)
+				gomega.Eventually(func() int32 {
+					var clusterQueue kueue.ClusterQueue
+					gomega.Expect(k8sClient.Get(ctx, client.ObjectKeyFromObject(cq), &clusterQueue)).To(gomega.Succeed())
+					return clusterQueue.Status.PendingWorkloads
+				}, util.Timeout, util.Interval).Should(gomega.Equal(int32(2)))
 			})
 		})
 	})