diff --git a/acceptance/bundle/templates/default-python-classic/out.compare-vs-serverless.diff b/acceptance/bundle/templates/default-python-classic/out.compare-vs-serverless.diff
index fd8ca073c..41d68edd0 100644
--- a/acceptance/bundle/templates/default-python-classic/out.compare-vs-serverless.diff
+++ b/acceptance/bundle/templates/default-python-classic/out.compare-vs-serverless.diff
@@ -6,17 +6,29 @@
 +          job_cluster_key: job_cluster
            notebook_task:
              notebook_path: ../src/notebook.ipynb
-@@ -29,5 +30,5 @@
+@@ -29,16 +30,19 @@
            depends_on:
              - task_key: refresh_pipeline
 -          environment_key: default
 +          job_cluster_key: job_cluster
            python_wheel_task:
              package_name: my_default_python
-@@ -38,2 +39,11 @@
-             # for more information on how to add other libraries.
-             - whl: ../dist/*.whl
-+
+             entry_point: main
+-      # A list of task execution environment specifications that can be referenced by tasks of this job.
+-      environments:
+-        - environment_key: default
+-
+-          # Full documentation of this spec can be found at:
+-          # https://docs.databricks.com/api/workspace/jobs/create#environments-spec
+-          spec:
+-            client: "1"
+-            dependencies:
+-              - ../dist/*.whl
++          libraries:
++            # By default we just include the .whl file generated for the my_default_python package.
++            # See https://docs.databricks.com/dev-tools/bundles/library-dependencies.html
++            # for more information on how to add other libraries.
++            - whl: ../dist/*.whl
 +      job_clusters:
 +        - job_cluster_key: job_cluster
 +          new_cluster:
diff --git a/acceptance/bundle/templates/default-python-errorserverless/out.compare-vs-serverless.diff b/acceptance/bundle/templates/default-python-errorserverless/out.compare-vs-serverless.diff
index 9c59800a9..8781e0986 100644
--- a/acceptance/bundle/templates/default-python-errorserverless/out.compare-vs-serverless.diff
+++ b/acceptance/bundle/templates/default-python-errorserverless/out.compare-vs-serverless.diff
@@ -6,17 +6,29 @@
 +          job_cluster_key: job_cluster
            notebook_task:
              notebook_path: ../src/notebook.ipynb
-@@ -29,5 +30,5 @@
+@@ -29,16 +30,19 @@
            depends_on:
              - task_key: refresh_pipeline
 -          environment_key: default
 +          job_cluster_key: job_cluster
            python_wheel_task:
              package_name: my_default_python
-@@ -38,2 +39,11 @@
-             # for more information on how to add other libraries.
-             - whl: ../dist/*.whl
-+
+             entry_point: main
+-      # A list of task execution environment specifications that can be referenced by tasks of this job.
+-      environments:
+-        - environment_key: default
+-
+-          # Full documentation of this spec can be found at:
+-          # https://docs.databricks.com/api/workspace/jobs/create#environments-spec
+-          spec:
+-            client: "1"
+-            dependencies:
+-              - ../dist/*.whl
++          libraries:
++            # By default we just include the .whl file generated for the my_default_python package.
++            # See https://docs.databricks.com/dev-tools/bundles/library-dependencies.html
++            # for more information on how to add other libraries.
++            - whl: ../dist/*.whl
 +      job_clusters:
 +        - job_cluster_key: job_cluster
 +          new_cluster:
diff --git a/acceptance/bundle/templates/default-python/output/my_default_python/resources/my_default_python.job.yml b/acceptance/bundle/templates/default-python/output/my_default_python/resources/my_default_python.job.yml
index 0d32bfff4..7040eb8a5 100644
--- a/acceptance/bundle/templates/default-python/output/my_default_python/resources/my_default_python.job.yml
+++ b/acceptance/bundle/templates/default-python/output/my_default_python/resources/my_default_python.job.yml
@@ -32,8 +32,13 @@ resources:
           python_wheel_task:
             package_name: my_default_python
             entry_point: main
-          libraries:
-            # By default we just include the .whl file generated for the my_default_python package.
-            # See https://docs.databricks.com/dev-tools/bundles/library-dependencies.html
-            # for more information on how to add other libraries.
-            - whl: ../dist/*.whl
+      # A list of task execution environment specifications that can be referenced by tasks of this job.
+      environments:
+        - environment_key: default
+
+          # Full documentation of this spec can be found at:
+          # https://docs.databricks.com/api/workspace/jobs/create#environments-spec
+          spec:
+            client: "1"
+            dependencies:
+              - ../dist/*.whl
diff --git a/libs/template/templates/default-python/template/{{.project_name}}/resources/{{.project_name}}.job.yml.tmpl b/libs/template/templates/default-python/template/{{.project_name}}/resources/{{.project_name}}.job.yml.tmpl
index 23dc88397..fc2987d3a 100644
--- a/libs/template/templates/default-python/template/{{.project_name}}/resources/{{.project_name}}.job.yml.tmpl
+++ b/libs/template/templates/default-python/template/{{.project_name}}/resources/{{.project_name}}.job.yml.tmpl
@@ -64,14 +64,27 @@ resources:
           python_wheel_task:
             package_name: {{.project_name}}
             entry_point: main
+          {{- if not $with_serverless }}
           libraries:
             # By default we just include the .whl file generated for the {{.project_name}} package.
             # See https://docs.databricks.com/dev-tools/bundles/library-dependencies.html
             # for more information on how to add other libraries.
             - whl: ../dist/*.whl
+          {{- end -}}
 {{else}}
       {{- end -}}
-      {{- if not $with_serverless}}
+      {{- if $with_serverless}}
+      # A list of task execution environment specifications that can be referenced by tasks of this job.
+      environments:
+        - environment_key: default
+
+          # Full documentation of this spec can be found at:
+          # https://docs.databricks.com/api/workspace/jobs/create#environments-spec
+          spec:
+            client: "1"
+            dependencies:
+              - ../dist/*.whl
+{{ else }}
       job_clusters:
         - job_cluster_key: job_cluster
           new_cluster: