diff --git a/superset-frontend/src/features/home/RightMenu.test.tsx b/superset-frontend/src/features/home/RightMenu.test.tsx
index bb4a40a53..50c0ca325 100644
--- a/superset-frontend/src/features/home/RightMenu.test.tsx
+++ b/superset-frontend/src/features/home/RightMenu.test.tsx
@@ -346,3 +346,30 @@ test('If there is NOT a DB with allow_file_upload set as True the option should
     (await screen.findByText('Upload CSV to database')).closest('a'),
   ).not.toBeInTheDocument();
 });
+
+test('Logs out and clears local storage item redux', async () => {
+  const mockedProps = createProps();
+  resetUseSelectorMock();
+  render(<RightMenu {...mockedProps} />, {
+    useRedux: true,
+    useQueryParams: true,
+    useRouter: true,
+  });
+
+  // Set an item in local storage to test if it gets cleared
+  localStorage.setItem('redux', JSON.stringify({ test: 'test' }));
+  expect(localStorage.getItem('redux')).not.toBeNull();
+
+  userEvent.hover(await screen.findByText(/Settings/i));
+
+  // Simulate user clicking the logout button
+  await waitFor(() => {
+    const logoutButton = screen.getByText('Logout');
+    userEvent.click(logoutButton);
+  });
+
+  // Wait for local storage to be cleared
+  await waitFor(() => {
+    expect(localStorage.getItem('redux')).toBeNull();
+  });
+});
diff --git a/superset-frontend/src/features/home/RightMenu.tsx b/superset-frontend/src/features/home/RightMenu.tsx
index 93e03f5ed..99a139836 100644
--- a/superset-frontend/src/features/home/RightMenu.tsx
+++ b/superset-frontend/src/features/home/RightMenu.tsx
@@ -348,6 +348,10 @@ const RightMenu = ({
 
   const handleDatabaseAdd = () => setQuery({ databaseAdded: true });
 
+  const handleLogout = () => {
+    localStorage.removeItem('redux');
+  };
+
   const theme = useTheme();
 
   return (
@@ -512,7 +516,7 @@ const RightMenu = ({
                   <a href={navbarRight.user_info_url}>{t('Info')}</a>
                 </Menu.Item>
               )}
-              <Menu.Item key="logout">
+              <Menu.Item key="logout" onClick={handleLogout}>
                 <a href={navbarRight.user_logout_url}>{t('Logout')}</a>
               </Menu.Item>
             </Menu.ItemGroup>,