diff --git a/src/zen/drag-and-drop/ZenDragAndDrop.js b/src/zen/drag-and-drop/ZenDragAndDrop.js
index 7534706b9..fbe896e32 100644
--- a/src/zen/drag-and-drop/ZenDragAndDrop.js
+++ b/src/zen/drag-and-drop/ZenDragAndDrop.js
@@ -1229,6 +1229,10 @@
       let showIndicatorUnderNewTabButton = false;
       let dropBefore = false;
       let dropElementFromEvent = event.target.closest(dropZoneSelector);
+      if (!dropElement && dropElementFromEvent?.isZenFolder) {
+        // If we're dragging over a folder, we want to show the indicator on the folder itself, not the label.
+        dropElementFromEvent = dropElementFromEvent.labelElement;
+      }
       dropElement = dropElementFromEvent || dropElement;
       if (!dropElementFromEvent) {
         let hoveringPeriphery = !!event.target.closest(
diff --git a/src/zen/workspaces/ZenWorkspaces.mjs b/src/zen/workspaces/ZenWorkspaces.mjs
index fbe5a4e9e..d66024bec 100644
--- a/src/zen/workspaces/ZenWorkspaces.mjs
+++ b/src/zen/workspaces/ZenWorkspaces.mjs
@@ -2072,14 +2072,10 @@ class nsZenWorkspaces {
         const essentialsContainer = this.getEssentialsSection(
           workspace.containerTabId
         );
-        if (
-          clonedEssentials[clonedEssentials.length - 1]?.contextId ==
-          workspace.containerTabId
-        ) {
-          clonedEssentials[clonedEssentials.length - 1].repeat++;
-          clonedEssentials[clonedEssentials.length - 1].workspaces.push(
-            workspace
-          );
+        let lastCloned = clonedEssentials[clonedEssentials.length - 1];
+        if (lastCloned && lastCloned.contextId == workspace.containerTabId) {
+          lastCloned.repeat++;
+          lastCloned.workspaces.push(workspace);
           continue;
         }
         essentialsContainer.setAttribute("hidden", "true");