diff --git a/src/main/java/com/google/devtools/build/lib/analysis/test/TestConfiguration.java b/src/main/java/com/google/devtools/build/lib/analysis/test/TestConfiguration.java
index f2f5a7450cf3a7..42053f8f2d4353 100644
--- a/src/main/java/com/google/devtools/build/lib/analysis/test/TestConfiguration.java
+++ b/src/main/java/com/google/devtools/build/lib/analysis/test/TestConfiguration.java
@@ -298,6 +298,14 @@ public static class TestOptions extends FragmentOptions {
         help = "If true, then Bazel will run coverage postprocessing for test in a new spawn.")
     public boolean splitCoveragePostProcessing;
 
+    @Option(
+        name = "zip_undeclared_test_outputs",
+        defaultValue = "true",
+        documentationCategory = OptionDocumentationCategory.TESTING,
+        effectTags = {OptionEffectTag.TEST_RUNNER},
+        help = "If true, undeclared test outputs will be archived in a zip file.")
+    public boolean zipUndeclaredTestOutputs;
+
     @Override
     public FragmentOptions getHost() {
       TestOptions hostOptions = (TestOptions) getDefault();
@@ -373,7 +381,7 @@ public Label getCoverageSupport(){
     return options.coverageSupport;
   }
 
-  public Label getCoverageReportGenerator(){
+  public Label getCoverageReportGenerator() {
     return options.coverageReportGenerator;
   }
 
@@ -410,6 +418,10 @@ public boolean splitCoveragePostProcessing() {
     return options.splitCoveragePostProcessing;
   }
 
+  public boolean getZipUndeclaredTestOutputs() {
+    return options.zipUndeclaredTestOutputs;
+  }
+
   /**
    * Option converter that han handle two styles of value for "--runs_per_test":
    *
diff --git a/src/main/java/com/google/devtools/build/lib/analysis/test/TestRunnerAction.java b/src/main/java/com/google/devtools/build/lib/analysis/test/TestRunnerAction.java
index 327f2d4b9eff62..83385b41a2c827 100644
--- a/src/main/java/com/google/devtools/build/lib/analysis/test/TestRunnerAction.java
+++ b/src/main/java/com/google/devtools/build/lib/analysis/test/TestRunnerAction.java
@@ -339,7 +339,11 @@ public List<ActionInput> getSpawnOutputs() {
     outputs.add(ActionInputHelper.fromPath(getSplitLogsPath()));
     outputs.add(ActionInputHelper.fromPath(getUnusedRunfilesLogPath()));
     outputs.add(ActionInputHelper.fromPath(getInfrastructureFailureFile()));
-    outputs.add(ActionInputHelper.fromPath(getUndeclaredOutputsZipPath()));
+    if (testConfiguration.getZipUndeclaredTestOutputs()) {
+      outputs.add(ActionInputHelper.fromPath(getUndeclaredOutputsZipPath()));
+    } else {
+      outputs.add(ActionInputHelper.fromPath(getUndeclaredOutputsDir()));
+    }
     outputs.add(ActionInputHelper.fromPath(getUndeclaredOutputsManifestPath()));
     outputs.add(ActionInputHelper.fromPath(getUndeclaredOutputsAnnotationsPath()));
     outputs.add(ActionInputHelper.fromPath(getUndeclaredOutputsAnnotationsPbPath()));
@@ -383,12 +387,20 @@ public ImmutableList<Pair<String, Path>> getTestOutputsMapping(
         builder.add(
             Pair.of(TestFileNameConstants.TEST_WARNINGS, resolvedPaths.getTestWarningsPath()));
       }
-      if (resolvedPaths.getUndeclaredOutputsZipPath().exists()) {
+      if (testConfiguration.getZipUndeclaredTestOutputs()
+          && resolvedPaths.getUndeclaredOutputsZipPath().exists()) {
         builder.add(
             Pair.of(
                 TestFileNameConstants.UNDECLARED_OUTPUTS_ZIP,
                 resolvedPaths.getUndeclaredOutputsZipPath()));
       }
+      if (!testConfiguration.getZipUndeclaredTestOutputs()
+          && resolvedPaths.getUndeclaredOutputsDir().exists()) {
+        builder.add(
+            Pair.of(
+                TestFileNameConstants.UNDECLARED_OUTPUTS_DIR,
+                resolvedPaths.getUndeclaredOutputsDir()));
+      }
       if (resolvedPaths.getUndeclaredOutputsManifestPath().exists()) {
         builder.add(
             Pair.of(
@@ -451,6 +463,7 @@ protected void computeKey(
     fp.addInt(runNumber);
     fp.addInt(executionSettings.getTotalRuns());
     fp.addBoolean(configuration.isCodeCoverageEnabled());
+    fp.addBoolean(testConfiguration.getZipUndeclaredTestOutputs());
     fp.addStringMap(getExecutionInfo());
   }
 
@@ -615,7 +628,10 @@ public void setupEnvVariables(Map<String, String> env, Duration timeout) {
 
     env.put("TEST_LOGSPLITTER_OUTPUT_FILE", getSplitLogsPath().getPathString());
 
-    env.put("TEST_UNDECLARED_OUTPUTS_ZIP", getUndeclaredOutputsZipPath().getPathString());
+    if (testConfiguration.getZipUndeclaredTestOutputs()) {
+      env.put("TEST_UNDECLARED_OUTPUTS_ZIP", getUndeclaredOutputsZipPath().getPathString());
+    }
+
     env.put("TEST_UNDECLARED_OUTPUTS_DIR", getUndeclaredOutputsDir().getPathString());
     env.put("TEST_UNDECLARED_OUTPUTS_MANIFEST", getUndeclaredOutputsManifestPath().getPathString());
     env.put(
diff --git a/src/main/java/com/google/devtools/build/lib/buildeventstream/TestFileNameConstants.java b/src/main/java/com/google/devtools/build/lib/buildeventstream/TestFileNameConstants.java
index 7d26f6ab2f51c8..1b470564463777 100644
--- a/src/main/java/com/google/devtools/build/lib/buildeventstream/TestFileNameConstants.java
+++ b/src/main/java/com/google/devtools/build/lib/buildeventstream/TestFileNameConstants.java
@@ -33,6 +33,7 @@ public class TestFileNameConstants {
       "test.outputs_manifest__ANNOTATIONS.pb";
   public static final String UNDECLARED_OUTPUTS_MANIFEST = "test.outputs_manifest__MANIFEST";
   public static final String UNDECLARED_OUTPUTS_ZIP = "test.outputs__outputs.zip";
+  public static final String UNDECLARED_OUTPUTS_DIR = "test.outputs";
   public static final String UNUSED_RUNFILES_LOG = "test.unused_runfiles_log";
   public static final String TEST_COVERAGE = "test.lcov";
   public static final String BASELINE_COVERAGE = "baseline.lcov";
diff --git a/src/test/shell/bazel/bazel_test_test.sh b/src/test/shell/bazel/bazel_test_test.sh
index 87f3bbb7d2aad7..c1030e40071316 100755
--- a/src/test/shell/bazel/bazel_test_test.sh
+++ b/src/test/shell/bazel/bazel_test_test.sh
@@ -695,7 +695,7 @@ EOF
   assert_equals "fail" "$(awk "NR == $(wc -l < $TEST_log)" $TEST_log)"
 }
 
-function test_undeclared_outputs_are_zipped_and_manifest_exists() {
+function setup_undeclared_outputs_test() {
   mkdir -p dir
 
   cat <<'EOF' > dir/test.sh
@@ -714,6 +714,15 @@ sh_test(
     srcs = [ "test.sh" ],
   )
 EOF
+}
+
+function test_undeclared_outputs_are_zipped() {
+  setup_undeclared_outputs_test
+
+  local -r outputs_dir=bazel-testlogs/dir/test/test.outputs
+  local -r outputs_zip=$outputs_dir/outputs.zip
+  local -r output_text=$outputs_dir/text.txt
+  local -r output_html=$outputs_dir/fake.html
 
   bazel test -s //dir:test &> $TEST_log || fail "expected success"
 
@@ -721,29 +730,115 @@ EOF
   N=$'\n'
 
   # Check that the undeclared outputs zip file exists.
-  outputs_zip=bazel-testlogs/dir/test/test.outputs/outputs.zip
   [ -s $outputs_zip ] || fail "$outputs_zip was not present after test"
 
+  # Check that the original undeclared outputs no longer exist.
+  [ -e $output_text ] && fail "$output_text was present after test"
+  [ -e $output_text ] && fail "$output_text was present after test"
+
+
   # Check the contents of the zip file.
   unzip -q "$outputs_zip" -d unzipped_outputs || fail "failed to unzip $outputs_zip"
   cat > expected_text <<EOF
 some text
 EOF
-diff "unzipped_outputs/text.txt" expected_text > d || fail "unzipped_outputs/text.txt differs from expected:$N$(cat d)$N"
+  diff "unzipped_outputs/text.txt" expected_text > d || fail "unzipped_outputs/text.txt differs from expected:$N$(cat d)$N"
+  cat > expected_html <<EOF
+<!DOCTYPE html>
+EOF
+  diff expected_html "unzipped_outputs/fake.html" > d || fail "unzipped_outputs/fake.html differs from expected:$N$(cat d)$N"
+}
+
+function test_undeclared_outputs_are_not_zipped() {
+  setup_undeclared_outputs_test
+
+  local -r outputs_dir=bazel-testlogs/dir/test/test.outputs
+  local -r outputs_zip=$outputs_dir/outputs.zip
+  local -r output_text=$outputs_dir/text.txt
+  local -r output_html=$outputs_dir/fake.html
+
+  bazel test -s --nozip_undeclared_test_outputs //dir:test &> $TEST_log || fail "expected success"
+
+  # Newlines are useful around diffs. This helps us get them in bash strings.
+  N=$'\n'
+
+  # Check that the undeclared outputs zip file does not exist.
+  [ -e $outputs_zip ] && fail "$outputs_zip was present after test"
+
+  # Check that the undeclared outputs exist.
+  [ -e $output_text ] || fail "$output_text was not present after test"
+  [ -e $output_text ] || fail "$output_text was not present after test"
+
+  # Check the contents of the undeclared outputs.
+  cat > expected_text <<EOF
+some text
+EOF
+  diff "$outputs_dir/text.txt" expected_text > d || fail "$outputs_dir/text.txt differs from expected:$N$(cat d)$N"
   cat > expected_html <<EOF
 <!DOCTYPE html>
 EOF
-diff expected_html "unzipped_outputs/fake.html" > d || fail "unzipped_outputs/fake.html differs from expected:$N$(cat d)$N"
+  diff expected_html "$outputs_dir/fake.html" > d || fail "$outputs_dir/fake.html differs from expected:$N$(cat d)$N"
+}
+
+function test_undeclared_outputs_zipped_then_unzipped() {
+  setup_undeclared_outputs_test
+
+  local -r outputs_dir=bazel-testlogs/dir/test/test.outputs
+  local -r outputs_zip=$outputs_dir/outputs.zip
+  local -r output_text=$outputs_dir/text.txt
+  local -r output_html=$outputs_dir/fake.html
+
+  bazel test -s //dir:test &> $TEST_log || fail "expected success"
+
+  [ -s $output_text ] && fail "$output_text was present after test"
+  [ -s $output_html ] && fail "$output_html was present after test"
+  [ -s $outputs_zip ] || fail "$outputs_zip was not present after test"
+
+  bazel test -s --nozip_undeclared_test_outputs //dir:test &> $TEST_log || fail "expected success"
+
+  [ -s $outputs_zip ] && fail "$outputs_zip was present after test"
+  [ -s $output_text ] || fail "$output_text was not present after test"
+  [ -s $output_html ] || fail "$output_html was not present after test"
+}
+
+function test_undeclared_outputs_unzipped_then_zipped() {
+  setup_undeclared_outputs_test
+
+  local -r outputs_dir=bazel-testlogs/dir/test/test.outputs
+  local -r outputs_zip=$outputs_dir/outputs.zip
+  local -r output_text=$outputs_dir/text.txt
+  local -r output_html=$outputs_dir/fake.html
+
+  bazel test -s --nozip_undeclared_test_outputs //dir:test &> $TEST_log || fail "expected success"
+
+  [ -s $outputs_zip ] && fail "$outputs_zip was present after test"
+  [ -s $output_text ] || fail "$output_text was not present after test"
+  [ -s $output_html ] || fail "$output_html was not present after test"
+
+  bazel test -s //dir:test &> $TEST_log || fail "expected success"
+
+  [ -s $output_text ] && fail "$output_text was present after test"
+  [ -s $output_html ] && fail "$output_html was present after test"
+  [ -s $outputs_zip ] || fail "$outputs_zip was not present after test"
+}
+
+function test_undeclared_outputs_manifest_is_created() {
+  setup_undeclared_outputs_test
+
+  bazel test -s //dir:test &> $TEST_log || fail "expected success"
+
+  # Newlines are useful around diffs. This helps us get them in bash strings.
+  N=$'\n'
 
   # Check that the undeclared outputs manifest exists and that it has the
   # correct contents.
-  outputs_manifest=bazel-testlogs/dir/test/test.outputs_manifest/MANIFEST
+  local -r outputs_manifest=bazel-testlogs/dir/test/test.outputs_manifest/MANIFEST
   [ -s $outputs_manifest ] || fail "$outputs_manifest was not present after test"
   cat > expected_manifest <<EOF
 fake.html	16	text/html
 text.txt	10	text/plain
 EOF
-diff expected_manifest "$outputs_manifest" > d || fail "$outputs_manifest differs from expected:$N$(cat d)$N"
+  diff expected_manifest "$outputs_manifest" > d || fail "$outputs_manifest differs from expected:$N$(cat d)$N"
 }
 
 function test_undeclared_outputs_annotations_are_added() {
diff --git a/tools/test/test-setup.sh b/tools/test/test-setup.sh
index 171129d02975e3..b4affb2082921d 100755
--- a/tools/test/test-setup.sh
+++ b/tools/test/test-setup.sh
@@ -54,8 +54,10 @@ is_absolute "$TEST_UNDECLARED_OUTPUTS_DIR" ||
   TEST_UNDECLARED_OUTPUTS_DIR="$PWD/$TEST_UNDECLARED_OUTPUTS_DIR"
 is_absolute "$TEST_UNDECLARED_OUTPUTS_MANIFEST" ||
   TEST_UNDECLARED_OUTPUTS_MANIFEST="$PWD/$TEST_UNDECLARED_OUTPUTS_MANIFEST"
-is_absolute "$TEST_UNDECLARED_OUTPUTS_ZIP" ||
-  TEST_UNDECLARED_OUTPUTS_ZIP="$PWD/$TEST_UNDECLARED_OUTPUTS_ZIP"
+if [[ -n "$TEST_UNDECLARED_OUTPUTS_ZIP" ]]; then
+  is_absolute "$TEST_UNDECLARED_OUTPUTS_ZIP" ||
+    TEST_UNDECLARED_OUTPUTS_ZIP="$PWD/$TEST_UNDECLARED_OUTPUTS_ZIP"
+fi
 is_absolute "$TEST_UNDECLARED_OUTPUTS_ANNOTATIONS" ||
   TEST_UNDECLARED_OUTPUTS_ANNOTATIONS="$PWD/$TEST_UNDECLARED_OUTPUTS_ANNOTATIONS"
 is_absolute "$TEST_UNDECLARED_OUTPUTS_ANNOTATIONS_DIR" ||
@@ -420,7 +422,8 @@ if [[ -n "$TEST_UNDECLARED_OUTPUTS_ZIP" ]] && cd "$TEST_UNDECLARED_OUTPUTS_DIR";
     # If * found nothing, echo printed the literal *.
     # Otherwise echo printed the top-level files and directories.
     # Pass files to zip with *, so paths with spaces aren't broken up.
-    zip -qr "$TEST_UNDECLARED_OUTPUTS_ZIP" -- * 2>/dev/null || \
+    # Remove original files after zipping them.
+    zip -qrm "$TEST_UNDECLARED_OUTPUTS_ZIP" -- * 2>/dev/null || \
         echo >&2 "Could not create \"$TEST_UNDECLARED_OUTPUTS_ZIP\": zip not found or failed"
   fi
 fi