diff --git a/src/Runner.Worker/Handlers/ContainerActionHandler.cs b/src/Runner.Worker/Handlers/ContainerActionHandler.cs
index 1f67c9dd3..099495cb4 100644
--- a/src/Runner.Worker/Handlers/ContainerActionHandler.cs
+++ b/src/Runner.Worker/Handlers/ContainerActionHandler.cs
@@ -239,6 +239,11 @@ namespace GitHub.Runner.Worker.Handlers
                 Environment["ACTIONS_RESULTS_URL"] = resultsUrl;
             }
 
+            if (ExecutionContext.Global.Variables.TryGetValue("actions_cache_mode", out var cacheMode) && !string.IsNullOrEmpty(cacheMode))
+            {
+                Environment["ACTIONS_CACHE_MODE"] = cacheMode;
+            }
+
             if (ExecutionContext.Global.Variables.GetBoolean(Constants.Runner.Features.SetOrchestrationIdEnvForActions) ?? false)
             {
                 if (ExecutionContext.Global.Variables.TryGetValue(Constants.Variables.System.OrchestrationId, out var orchestrationId) && !string.IsNullOrEmpty(orchestrationId))
diff --git a/src/Runner.Worker/Handlers/NodeScriptActionHandler.cs b/src/Runner.Worker/Handlers/NodeScriptActionHandler.cs
index 29def039f..85ff32777 100644
--- a/src/Runner.Worker/Handlers/NodeScriptActionHandler.cs
+++ b/src/Runner.Worker/Handlers/NodeScriptActionHandler.cs
@@ -78,6 +78,11 @@ namespace GitHub.Runner.Worker.Handlers
                 Environment["ACTIONS_CACHE_SERVICE_V2"] = bool.TrueString;
             }
 
+            if (ExecutionContext.Global.Variables.TryGetValue("actions_cache_mode", out var cacheMode) && !string.IsNullOrEmpty(cacheMode))
+            {
+                Environment["ACTIONS_CACHE_MODE"] = cacheMode;
+            }
+
             if (ExecutionContext.Global.Variables.GetBoolean(Constants.Runner.Features.SetOrchestrationIdEnvForActions) ?? false)
             {
                 if (ExecutionContext.Global.Variables.TryGetValue(Constants.Variables.System.OrchestrationId, out var orchestrationId) && !string.IsNullOrEmpty(orchestrationId))
diff --git a/src/Runner.Worker/JobExtension.cs b/src/Runner.Worker/JobExtension.cs
index 33f93825a..22bfccc82 100644
--- a/src/Runner.Worker/JobExtension.cs
+++ b/src/Runner.Worker/JobExtension.cs
@@ -171,6 +171,12 @@ namespace GitHub.Runner.Worker
                         context.Output($"Secret source: {secretSource}");
                     }
 
+                    var cacheMode = jobContext.Global.Variables.Get("actions_cache_mode");
+                    if (!string.IsNullOrEmpty(cacheMode))
+                    {
+                        context.Output($"Actions cache-mode: {cacheMode}");
+                    }
+
                     var repoFullName = context.GetGitHubContext("repository");
                     ArgUtil.NotNull(repoFullName, nameof(repoFullName));
                     context.Debug($"Primary repository: {repoFullName}");
diff --git a/src/Test/L0/Worker/HandlerL0.cs b/src/Test/L0/Worker/HandlerL0.cs
index f9dbd67c7..111bfc524 100644
--- a/src/Test/L0/Worker/HandlerL0.cs
+++ b/src/Test/L0/Worker/HandlerL0.cs
@@ -1,7 +1,12 @@
 using System;
+using System.Collections.Generic;
+using System.IO;
 using System.Runtime.CompilerServices;
+using System.Threading;
+using System.Threading.Tasks;
 using GitHub.Actions.RunService.WebApi;
 using GitHub.DistributedTask.Pipelines;
+using GitHub.DistributedTask.Pipelines.ContextData;
 using GitHub.DistributedTask.WebApi;
 using GitHub.Runner.Sdk;
 using GitHub.Runner.Worker;
@@ -85,5 +90,122 @@ namespace GitHub.Runner.Common.Tests.Worker
                 Assert.Equal("ubuntu:20.04", _stepTelemetry.Action);
             }
         }
+
+        [Theory]
+        [Trait("Level", "L0")]
+        [Trait("Category", "Worker")]
+        [InlineData("read")]
+        [InlineData("none")]
+        [InlineData("write")]
+        [InlineData("write-only")]
+        public async Task RunAsync_ExportsCacheModeEnv_WhenVariableSet(string mode)
+        {
+            using (TestHostContext hc = CreateTestContext())
+            {
+                var environment = await RunNodeScriptActionHandlerAsync(hc, new Dictionary<string, VariableValue>
+                {
+                    { "actions_cache_mode", mode }
+                });
+
+                Assert.True(environment.TryGetValue("ACTIONS_CACHE_MODE", out var value));
+                Assert.Equal(mode, value);
+            }
+        }
+
+        [Fact]
+        [Trait("Level", "L0")]
+        [Trait("Category", "Worker")]
+        public async Task RunAsync_DoesNotExportCacheModeEnv_WhenVariableAbsent()
+        {
+            using (TestHostContext hc = CreateTestContext())
+            {
+                var environment = await RunNodeScriptActionHandlerAsync(hc, new Dictionary<string, VariableValue>());
+
+                Assert.False(environment.ContainsKey("ACTIONS_CACHE_MODE"));
+            }
+        }
+
+        [Fact]
+        [Trait("Level", "L0")]
+        [Trait("Category", "Worker")]
+        public async Task RunAsync_DoesNotExportCacheModeEnv_WhenVariableEmpty()
+        {
+            using (TestHostContext hc = CreateTestContext())
+            {
+                var environment = await RunNodeScriptActionHandlerAsync(hc, new Dictionary<string, VariableValue>
+                {
+                    { "actions_cache_mode", "" }
+                });
+
+                Assert.False(environment.ContainsKey("ACTIONS_CACHE_MODE"));
+            }
+        }
+
+        private async Task<Dictionary<string, string>> RunNodeScriptActionHandlerAsync(TestHostContext hc, IDictionary<string, VariableValue> variables)
+        {
+            var actionDirectory = Path.Combine(hc.GetDirectory(WellKnownDirectory.Work), Guid.NewGuid().ToString());
+            Directory.CreateDirectory(actionDirectory);
+            var scriptFile = "main.js";
+            File.WriteAllText(Path.Combine(actionDirectory, scriptFile), "// noop");
+
+            var serverVariables = new Variables(hc, variables);
+            var endpoints = new List<ServiceEndpoint>
+            {
+                new ServiceEndpoint()
+                {
+                    Name = WellKnownServiceEndpointNames.SystemVssConnection,
+                    Url = new Uri("https://pipelines.actions.githubusercontent.com"),
+                    Authorization = new EndpointAuthorization()
+                    {
+                        Scheme = "Test",
+                        Parameters = { { "AccessToken", "token" } }
+                    }
+                }
+            };
+
+            _ec.Setup(x => x.Global).Returns(new GlobalContext()
+            {
+                Variables = serverVariables,
+                Endpoints = endpoints,
+                PrependPath = new List<string>(),
+                EnvironmentVariables = new Dictionary<string, string>()
+            });
+            _ec.Setup(x => x.ExpressionValues).Returns(new DictionaryContextData());
+            _ec.Setup(x => x.GetGitHubContext("workspace")).Returns(actionDirectory);
+            _ec.Setup(x => x.GetMatchers()).Returns(new List<IssueMatcherConfig>());
+            _ec.Setup(x => x.ForceCompleted).Returns(new TaskCompletionSource<int>().Task);
+            _ec.Setup(x => x.CancellationToken).Returns(CancellationToken.None);
+
+            var stepHost = new Mock<IStepHost>();
+            stepHost.Setup(x => x.DetermineNodeRuntimeVersion(It.IsAny<IExecutionContext>(), It.IsAny<string>())).ReturnsAsync("node20");
+            stepHost.Setup(x => x.ResolvePathForStepHost(It.IsAny<IExecutionContext>(), It.IsAny<string>())).Returns((IExecutionContext ec, string path) => path);
+            stepHost.Setup(x => x.ExecuteAsync(
+                It.IsAny<IExecutionContext>(),
+                It.IsAny<string>(),
+                It.IsAny<string>(),
+                It.IsAny<string>(),
+                It.IsAny<IDictionary<string, string>>(),
+                It.IsAny<bool>(),
+                It.IsAny<System.Text.Encoding>(),
+                It.IsAny<bool>(),
+                It.IsAny<bool>(),
+                It.IsAny<string>(),
+                It.IsAny<CancellationToken>())).ReturnsAsync(0);
+
+            var handler = new NodeScriptActionHandler();
+            handler.Initialize(hc);
+            handler.ExecutionContext = _ec.Object;
+            handler.StepHost = stepHost.Object;
+            handler.Environment = new Dictionary<string, string>();
+            handler.Inputs = new Dictionary<string, string>();
+            handler.RuntimeVariables = serverVariables;
+            handler.ActionDirectory = actionDirectory;
+            handler.Action = new RepositoryPathReference() { Name = "actions/checkout", Ref = "v2" };
+            handler.Data = new NodeJSActionExecutionData() { Script = scriptFile, NodeVersion = "node20" };
+
+            await handler.RunAsync(ActionRunStage.Main);
+
+            return handler.Environment;
+        }
     }
 }