diff --git a/packages/core-components/src/components/AutoLogout/AutoLogout.tsx b/packages/core-components/src/components/AutoLogout/AutoLogout.tsx
index ddc457842e..9ba8098c1d 100644
--- a/packages/core-components/src/components/AutoLogout/AutoLogout.tsx
+++ b/packages/core-components/src/components/AutoLogout/AutoLogout.tsx
@@ -146,14 +146,8 @@ const ConditionalAutoLogout = ({
     onPrompt: promptBeforeIdle ? onPrompt : undefined,
     promptBeforeIdle: promptBeforeIdle ? promptBeforeIdleMillis : undefined,
     syncTimers: 1000,
-    leaderElection: true,
   });
 
-  // Check if the current tab is the only active tab. In practice, this gets checked once per second
-  if (timer.isLeader()) {
-    lastSeenOnlineStore.save(new Date());
-  }
-
   return (
     <>
       {promptBeforeIdle && (
@@ -237,18 +231,35 @@ const parseConfig = (
 export const AutoLogout = (props: AutoLogoutProps): JSX.Element | null => {
   const identityApi = useApi(identityApiRef);
   const configApi = useApi(configApiRef);
-  const [isLogged, setIsLogged] = useState(false);
+  const [isLogged, setIsLogged] = useState<boolean | null>(null);
+  const lastSeenOnlineStore: TimestampStore = useMemo(
+    () => new DefaultTimestampStore(LAST_SEEN_ONLINE_STORAGE_KEY),
+    [],
+  );
+
   useEffect(() => {
-    // if the user is not logged in, the autologout feature won't affect the app even if enabled
     async function isLoggedIn(identity: IdentityApi) {
-      if ((await identity.getCredentials()).token) {
-        setIsLogged(true);
-      } else {
+      try {
+        // Add timeout if identity.getCredentials() hangs/takes too long to return
+        setTimeout(() => {
+          if (isLogged === null || isLogged === false) {
+            lastSeenOnlineStore.delete();
+          }
+        }, 3000);
+        const creds = await identity.getCredentials();
+        if (creds?.token) {
+          setIsLogged(true);
+        } else {
+          setIsLogged(false);
+          lastSeenOnlineStore.delete();
+        }
+      } catch (err) {
         setIsLogged(false);
+        lastSeenOnlineStore.delete();
       }
     }
     isLoggedIn(identityApi);
-  }, [identityApi]);
+  }, [isLogged, lastSeenOnlineStore, identityApi]);
 
   const {
     enabled,
@@ -280,10 +291,6 @@ export const AutoLogout = (props: AutoLogoutProps): JSX.Element | null => {
     }
   }, [idleTimeoutMinutes, promptBeforeIdleSeconds]);
 
-  const lastSeenOnlineStore: TimestampStore = useMemo(
-    () => new DefaultTimestampStore(LAST_SEEN_ONLINE_STORAGE_KEY),
-    [],
-  );
   const [promptOpen, setPromptOpen] = useState<boolean>(false);
 
   const [remainingTimeCountdown, setRemainingTimeCountdown] =
@@ -291,7 +298,8 @@ export const AutoLogout = (props: AutoLogoutProps): JSX.Element | null => {
 
   useLogoutDisconnectedUserEffect({
     enableEffect: logoutIfDisconnected,
-    autologoutIsEnabled: enabled && isLogged,
+    autologoutIsEnabled: enabled,
+    isLoggedIn: isLogged,
     idleTimeoutSeconds: idleTimeoutMinutes * 60,
     lastSeenOnlineStore,
     identityApi,
diff --git a/packages/core-components/src/components/AutoLogout/disconnectedUsers.ts b/packages/core-components/src/components/AutoLogout/disconnectedUsers.ts
index 643664e66f..ebc0cd01f5 100644
--- a/packages/core-components/src/components/AutoLogout/disconnectedUsers.ts
+++ b/packages/core-components/src/components/AutoLogout/disconnectedUsers.ts
@@ -24,6 +24,7 @@ export const LAST_SEEN_ONLINE_STORAGE_KEY =
 export type UseLogoutDisconnectedUserEffectProps = {
   enableEffect: boolean;
   autologoutIsEnabled: boolean;
+  isLoggedIn: boolean | null;
   idleTimeoutSeconds: number;
   lastSeenOnlineStore: TimestampStore;
   identityApi: IdentityApi;
@@ -32,6 +33,7 @@ export type UseLogoutDisconnectedUserEffectProps = {
 export const useLogoutDisconnectedUserEffect = ({
   enableEffect,
   autologoutIsEnabled,
+  isLoggedIn,
   idleTimeoutSeconds,
   lastSeenOnlineStore,
   identityApi,
@@ -41,7 +43,12 @@ export const useLogoutDisconnectedUserEffect = ({
      * Considers disconnected users as inactive users.
      * If all Backstage tabs are closed and idleTimeoutMinutes are passed then logout the user anyway.
      */
-    if (autologoutIsEnabled && enableEffect) {
+    // Prevent lastSeen getting deleted before logged state is checked
+    if (isLoggedIn === null) {
+      return;
+    }
+
+    if (autologoutIsEnabled && isLoggedIn && enableEffect) {
       const lastSeenOnline = lastSeenOnlineStore.get();
       if (lastSeenOnline) {
         const now = new Date();
@@ -51,15 +58,16 @@ export const useLogoutDisconnectedUserEffect = ({
         );
         if (nowSeconds - lastSeenOnlineSeconds > idleTimeoutSeconds) {
           identityApi.signOut();
-          // Delete lastSeen time to prevent getting locked out after logout
-          lastSeenOnlineStore.delete();
-          return;
         }
       }
+      lastSeenOnlineStore.save(new Date());
+    } else {
+      lastSeenOnlineStore.delete();
     }
   }, [
     autologoutIsEnabled,
     enableEffect,
+    isLoggedIn,
     identityApi,
     idleTimeoutSeconds,
     lastSeenOnlineStore,