diff --git a/jumanji/wrappers.py b/jumanji/wrappers.py
index e70bd666c..72f38be0b 100644
--- a/jumanji/wrappers.py
+++ b/jumanji/wrappers.py
@@ -354,7 +354,7 @@ def render(self, state: State) -> Any:
 class AutoResetWrapper(Wrapper):
     """Automatically resets environments that are done. Once the terminal state is reached,
     the state, observation, and step_type are reset. The observation and step_type of the
-    terminal TimeStep is reset to the reset observation and StepType.FIRST, respectively.
+    terminal TimeStep is reset to the reset observation and StepType.LAST, respectively.
     The reward, discount, and extras retrieved from the transition to the terminal state.
     WARNING: do not `jax.vmap` the wrapped environment (e.g. do not use with the `VmapWrapper`),
     which would lead to inefficient computation due to both the `step` and `reset` functions
@@ -380,8 +380,7 @@ def _auto_reset(
 
         # Replace observation with reset observation.
         timestep = timestep.replace(  # type: ignore
-            observation=reset_timestep.observation,
-            step_type=reset_timestep.step_type,
+            observation=reset_timestep.observation
         )
 
         return state, timestep
@@ -481,8 +480,7 @@ def _auto_reset(
 
         # Replace observation with reset observation.
         timestep = timestep.replace(  # type: ignore
-            observation=reset_timestep.observation,
-            step_type=reset_timestep.step_type,
+            observation=reset_timestep.observation
         )
 
         return state, timestep
diff --git a/jumanji/wrappers_test.py b/jumanji/wrappers_test.py
index 27d77a87c..4dc339694 100644
--- a/jumanji/wrappers_test.py
+++ b/jumanji/wrappers_test.py
@@ -576,7 +576,7 @@ def test_auto_reset_wrapper__step_reset(
             action = fake_auto_reset_environment.action_spec().generate_value()
             state, timestep = jax.jit(fake_auto_reset_environment.step)(state, action)
 
-        assert timestep.step_type == first_timestep.step_type == StepType.FIRST
+        assert timestep.step_type == StepType.LAST
         chex.assert_trees_all_equal(timestep.observation, first_timestep.observation)
 
 
@@ -676,8 +676,7 @@ def test_vmap_auto_reset_wrapper__step_reset(
                 state, action
             )
 
-        assert jnp.all(timestep.step_type == first_timestep.step_type)
-        assert jnp.all(timestep.step_type == StepType.FIRST)
+        assert jnp.all(timestep.step_type == StepType.LAST)
         chex.assert_trees_all_equal(timestep.observation, first_timestep.observation)
 
     def test_vmap_auto_reset_wrapper__step(