diff --git a/frontend/src/app/main/ui/workspace/tokens/changes.cljs b/frontend/src/app/main/ui/workspace/tokens/changes.cljs
index ae85600e71..f9ca010938 100644
--- a/frontend/src/app/main/ui/workspace/tokens/changes.cljs
+++ b/frontend/src/app/main/ui/workspace/tokens/changes.cljs
@@ -6,6 +6,7 @@
 
 (ns app.main.ui.workspace.tokens.changes
   (:require
+   [app.common.types.shape.layout :as ctsl]
    [app.common.types.shape.radius :as ctsr]
    [app.common.types.token :as ctt]
    [app.common.types.tokens-lib :as ctob]
@@ -173,22 +174,30 @@
                        (zipmap (repeat value)))]
     {:layout-gap layout-gap}))
 
+(defn- shape-ids-with-layout [state shape-ids]
+  (->> (dsh/lookup-shapes state shape-ids)
+       (eduction
+        (filter ctsl/any-layout?)
+        (map :id))))
+
 (defn update-layout-padding [value shape-ids attrs]
-  (dwsl/update-layout shape-ids
-                      {:layout-padding (zipmap attrs (repeat value))}
-                      {:ignore-touched true}))
+  (ptk/reify ::update-layout-padding
+    ptk/WatchEvent
+    (watch [_ state _]
+      (let [ids-with-layout (shape-ids-with-layout state shape-ids)]
+        (rx/of
+         (dwsl/update-layout ids-with-layout
+                             {:layout-padding (zipmap attrs (repeat value))}
+                             {:ignore-touched true}))))))
 
 (defn update-layout-spacing [value shape-ids attributes]
   (ptk/reify ::update-layout-spacing
     ptk/WatchEvent
     (watch [_ state _]
-      (let [layout-shape-ids (->> (dsh/lookup-shapes state shape-ids)
-                                  (eduction
-                                   (filter :layout)
-                                   (map :id)))
+      (let [ids-with-layout (shape-ids-with-layout state shape-ids)
             layout-attributes (attributes->layout-gap attributes value)]
         (rx/of
-         (dwsl/update-layout layout-shape-ids
+         (dwsl/update-layout ids-with-layout
                              layout-attributes
                              {:ignore-touched true}))))))
 
diff --git a/frontend/test/frontend_tests/tokens/logic/token_actions_test.cljs b/frontend/test/frontend_tests/tokens/logic/token_actions_test.cljs
index 30e623d984..eb86d02523 100644
--- a/frontend/test/frontend_tests/tokens/logic/token_actions_test.cljs
+++ b/frontend/test/frontend_tests/tokens/logic/token_actions_test.cljs
@@ -186,6 +186,40 @@
                (t/is (= (:width rect-1') 100))
                (t/is (= (:height rect-1') 100))))))))))
 
+(t/deftest test-apply-padding
+  (t/testing "applies padding token to shapes with layout"
+    (t/async
+      done
+      (let [dimensions-token {:name "padding.sm"
+                              :value "100"
+                              :type :spacing}
+            file (-> (setup-file-with-tokens)
+                     (ctho/add-frame :frame-1)
+                     (ctho/add-frame :frame-2 {:layout :grid})
+                     (update-in [:data :tokens-lib]
+                                #(ctob/add-token-in-set % "Set A" (ctob/make-token dimensions-token))))
+            store (ths/setup-store file)
+            frame-1 (cths/get-shape file :frame-1)
+            frame-2 (cths/get-shape file :frame-2)
+            events [(wtch/apply-token {:shape-ids [(:id frame-1) (:id frame-2)]
+                                       :attributes #{:padding}
+                                       :token (toht/get-token file "padding.sm")
+                                       :on-update-shape wtch/update-layout-padding})]]
+        (tohs/run-store-async
+         store done events
+         (fn [new-state]
+           (let [file' (ths/get-file-from-state new-state)
+                 token-target' (toht/get-token file' "dimensions.sm")
+                 frame-1' (cths/get-shape file' :frame-1)
+                 frame-2' (cths/get-shape file' :frame-2)]
+             (t/testing "shape `:applied-tokens` got updated"
+               (t/is (= (:spacing (:applied-tokens frame-1')) (:name token-target')))
+               (t/is (= (:spacing (:applied-tokens frame-2')) (:name token-target'))))
+             (t/testing "shapes padding got updated"
+               (t/is (= (:layout-padding frame-2') {:padding 100})))
+             (t/testing "shapes without layout get ignored"
+               (t/is (nil? (:layout-padding frame-1')))))))))))
+
 (t/deftest test-apply-sizing
   (t/testing "applies sizing token and updates the shapes width and height"
     (t/async