diff --git a/modules/video_coding/codecs/vp8/default_temporal_layers.cc b/modules/video_coding/codecs/vp8/default_temporal_layers.cc
index 8389eff16e..b6884da8fb 100644
--- a/modules/video_coding/codecs/vp8/default_temporal_layers.cc
+++ b/modules/video_coding/codecs/vp8/default_temporal_layers.cc
@@ -266,6 +266,11 @@ DefaultTemporalLayers::DefaultTemporalLayers(int number_of_temporal_layers)
   }
 }
 
+bool DefaultTemporalLayers::SupportsEncoderFrameDropping() const {
+  // This class allows the encoder drop frames as it sees fit.
+  return true;
+}
+
 void DefaultTemporalLayers::OnRatesUpdated(
     const std::vector<uint32_t>& bitrates_bps,
     int framerate_fps) {
diff --git a/modules/video_coding/codecs/vp8/default_temporal_layers.h b/modules/video_coding/codecs/vp8/default_temporal_layers.h
index 9978a9ae24..691447964c 100644
--- a/modules/video_coding/codecs/vp8/default_temporal_layers.h
+++ b/modules/video_coding/codecs/vp8/default_temporal_layers.h
@@ -28,6 +28,8 @@ class DefaultTemporalLayers : public TemporalLayers {
   explicit DefaultTemporalLayers(int number_of_temporal_layers);
   virtual ~DefaultTemporalLayers() {}
 
+  bool SupportsEncoderFrameDropping() const override;
+
   // Returns the recommended VP8 encode flags needed. May refresh the decoder
   // and/or update the reference buffers.
   TemporalLayers::FrameConfig UpdateLayerConfig(uint32_t timestamp) override;
diff --git a/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.cc b/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.cc
index 3d2a5c9542..72e5f872d8 100644
--- a/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.cc
+++ b/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.cc
@@ -399,7 +399,7 @@ int LibvpxVp8Encoder::InitEncode(const VideoCodec* inst,
       (num_temporal_layers > 1) ? VPX_ERROR_RESILIENT_DEFAULT : 0;
 
   // rate control settings
-  configurations_[0].rc_dropframe_thresh = inst->VP8().frameDroppingOn ? 30 : 0;
+  configurations_[0].rc_dropframe_thresh = FrameDropThreshold(0);
   configurations_[0].rc_end_usage = VPX_CBR;
   configurations_[0].g_pass = VPX_RC_ONE_PASS;
   // Handle resizing outside of libvpx.
@@ -481,6 +481,7 @@ int LibvpxVp8Encoder::InitEncode(const VideoCodec* inst,
   }
   UpdateVpxConfiguration(temporal_layers_[stream_idx].get(),
                          &configurations_[0]);
+  configurations_[0].rc_dropframe_thresh = FrameDropThreshold(stream_idx);
 
   --stream_idx;
   for (size_t i = 1; i < encoders_.size(); ++i, --stream_idx) {
@@ -493,6 +494,8 @@ int LibvpxVp8Encoder::InitEncode(const VideoCodec* inst,
     // Use 1 thread for lower resolutions.
     configurations_[i].g_threads = 1;
 
+    configurations_[i].rc_dropframe_thresh = FrameDropThreshold(stream_idx);
+
     // Setting alignment to 32 - as that ensures at least 16 for all
     // planes (32 for Y, 16 for U,V). Libvpx sets the requested stride for
     // the y plane, but only half of it to the u and v planes.
@@ -654,6 +657,19 @@ uint32_t LibvpxVp8Encoder::MaxIntraTarget(uint32_t optimalBuffersize) {
   return (targetPct < minIntraTh) ? minIntraTh : targetPct;
 }
 
+uint32_t LibvpxVp8Encoder::FrameDropThreshold(size_t spatial_idx) const {
+  bool enable_frame_dropping = codec_.VP8().frameDroppingOn;
+  // If temporal layers are used, they get to override the frame dropping
+  // setting, as eg. ScreenshareLayers does not work as intended with frame
+  // dropping on and DefaultTemporalLayers will have performance issues with
+  // frame dropping off.
+  if (temporal_layers_.size() <= spatial_idx) {
+    enable_frame_dropping =
+        temporal_layers_[spatial_idx]->SupportsEncoderFrameDropping();
+  }
+  return enable_frame_dropping ? 30 : 0;
+}
+
 int LibvpxVp8Encoder::Encode(const VideoFrame& frame,
                              const CodecSpecificInfo* codec_specific_info,
                              const std::vector<FrameType>* frame_types) {
diff --git a/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.h b/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.h
index 4e9d374c4c..b1889fcd75 100644
--- a/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.h
+++ b/modules/video_coding/codecs/vp8/libvpx_vp8_encoder.h
@@ -84,6 +84,8 @@ class LibvpxVp8Encoder : public VP8Encoder {
 
   uint32_t MaxIntraTarget(uint32_t optimal_buffer_size);
 
+  uint32_t FrameDropThreshold(size_t spatial_idx) const;
+
   const bool use_gf_boost_;
 
   EncodedImageCallback* encoded_complete_callback_;
diff --git a/modules/video_coding/codecs/vp8/screenshare_layers.cc b/modules/video_coding/codecs/vp8/screenshare_layers.cc
index ccdaa10f1c..0117d12ccb 100644
--- a/modules/video_coding/codecs/vp8/screenshare_layers.cc
+++ b/modules/video_coding/codecs/vp8/screenshare_layers.cc
@@ -60,6 +60,11 @@ ScreenshareLayers::~ScreenshareLayers() {
   UpdateHistograms();
 }
 
+bool ScreenshareLayers::SupportsEncoderFrameDropping() const {
+  // Frame dropping is handled internally by this class.
+  return false;
+}
+
 TemporalLayers::FrameConfig ScreenshareLayers::UpdateLayerConfig(
     uint32_t timestamp) {
   if (number_of_temporal_layers_ <= 1) {
diff --git a/modules/video_coding/codecs/vp8/screenshare_layers.h b/modules/video_coding/codecs/vp8/screenshare_layers.h
index 873d525938..fcc3aca650 100644
--- a/modules/video_coding/codecs/vp8/screenshare_layers.h
+++ b/modules/video_coding/codecs/vp8/screenshare_layers.h
@@ -29,7 +29,9 @@ class ScreenshareLayers : public TemporalLayers {
 
   ScreenshareLayers(int num_temporal_layers,
                     Clock* clock);
-  virtual ~ScreenshareLayers();
+  ~ScreenshareLayers() override;
+
+  bool SupportsEncoderFrameDropping() const override;
 
   // Returns the recommended VP8 encode flags needed. May refresh the decoder
   // and/or update the reference buffers.
diff --git a/modules/video_coding/codecs/vp8/temporal_layers.h b/modules/video_coding/codecs/vp8/temporal_layers.h
index 20da1a44fa..91b5531128 100644
--- a/modules/video_coding/codecs/vp8/temporal_layers.h
+++ b/modules/video_coding/codecs/vp8/temporal_layers.h
@@ -147,6 +147,8 @@ class TemporalLayers {
 
   virtual ~TemporalLayers() = default;
 
+  virtual bool SupportsEncoderFrameDropping() const = 0;
+
   // New target bitrate, per temporal layer.
   virtual void OnRatesUpdated(const std::vector<uint32_t>& bitrates_bps,
                               int framerate_fps) = 0;