diff --git a/controlplane/kubeadm/internal/controllers/fakes_test.go b/controlplane/kubeadm/internal/controllers/fakes_test.go
index 87ea46212469..aa3dc656b5cc 100644
--- a/controlplane/kubeadm/internal/controllers/fakes_test.go
+++ b/controlplane/kubeadm/internal/controllers/fakes_test.go
@@ -66,6 +66,14 @@ func (f *fakeManagementCluster) GetMachinePoolsForCluster(c context.Context, clu
 	return f.MachinePools, nil
 }
 
+type fakeManagementClusterWithError struct {
+	fakeManagementCluster
+}
+
+func (f *fakeManagementClusterWithError) GetWorkloadCluster(_ context.Context, _ client.ObjectKey) (internal.WorkloadCluster, error) {
+	return nil, errors.New("failed to get workload cluster")
+}
+
 type fakeWorkloadCluster struct {
 	*internal.Workload
 	Status                     internal.ClusterStatus
diff --git a/controlplane/kubeadm/internal/controllers/status.go b/controlplane/kubeadm/internal/controllers/status.go
index f135baf0aae2..7cb488e72b1a 100644
--- a/controlplane/kubeadm/internal/controllers/status.go
+++ b/controlplane/kubeadm/internal/controllers/status.go
@@ -41,10 +41,10 @@ func (r *KubeadmControlPlaneReconciler) updateStatus(ctx context.Context, contro
 	replicas := int32(len(controlPlane.Machines))
 	desiredReplicas := *controlPlane.KCP.Spec.Replicas
 
-	// set basic data that does not require interacting with the workload cluster
+	// Set basic data that does not require interacting with the workload cluster.
 	controlPlane.KCP.Status.Replicas = replicas
-	controlPlane.KCP.Status.ReadyReplicas = 0
-	controlPlane.KCP.Status.UnavailableReplicas = replicas
+	// Set UnavailableReplicas to `replicas` when KCP is newly created, otherwise keep it unchanged. So as to avoid updating it when unable to get the workload cluster.
+	controlPlane.KCP.Status.UnavailableReplicas = replicas - controlPlane.KCP.Status.ReadyReplicas
 
 	// Return early if the deletion timestamp is set, because we don't want to try to connect to the workload cluster
 	// and we don't want to report resize condition (because it is set to deleting into reconcile delete).
diff --git a/controlplane/kubeadm/internal/controllers/status_test.go b/controlplane/kubeadm/internal/controllers/status_test.go
index 37cf1d680fbd..deb5079c8c99 100644
--- a/controlplane/kubeadm/internal/controllers/status_test.go
+++ b/controlplane/kubeadm/internal/controllers/status_test.go
@@ -332,6 +332,79 @@ func TestKubeadmControlPlaneReconciler_updateStatusMachinesReadyMixed(t *testing
 	g.Expect(kcp.Status.Ready).To(BeTrue())
 }
 
+func TestKubeadmControlPlaneReconciler_updateStatusCannotGetWorkloadClusterStatus(t *testing.T) {
+	g := NewWithT(t)
+
+	cluster := &clusterv1.Cluster{
+		ObjectMeta: metav1.ObjectMeta{
+			Name:      "foo",
+			Namespace: metav1.NamespaceDefault,
+		},
+	}
+
+	kcp := &controlplanev1.KubeadmControlPlane{
+		TypeMeta: metav1.TypeMeta{
+			Kind:       "KubeadmControlPlane",
+			APIVersion: controlplanev1.GroupVersion.String(),
+		},
+		ObjectMeta: metav1.ObjectMeta{
+			Namespace: cluster.Namespace,
+			Name:      "foo",
+		},
+		Spec: controlplanev1.KubeadmControlPlaneSpec{
+			Version: "v1.16.6",
+			MachineTemplate: controlplanev1.KubeadmControlPlaneMachineTemplate{
+				InfrastructureRef: corev1.ObjectReference{
+					APIVersion: "test/v1alpha1",
+					Kind:       "UnknownInfraMachine",
+					Name:       "foo",
+				},
+			},
+		},
+		Status: controlplanev1.KubeadmControlPlaneStatus{
+			Ready:               true,
+			Replicas:            3,
+			ReadyReplicas:       3,
+			UpdatedReplicas:     3,
+			UnavailableReplicas: 0,
+		},
+	}
+	kcp.Default()
+	_, err := kcp.ValidateCreate()
+	g.Expect(err).ToNot(HaveOccurred())
+
+	machines := map[string]*clusterv1.Machine{}
+	objs := []client.Object{cluster.DeepCopy(), kcp.DeepCopy()}
+	for i := 0; i < 3; i++ {
+		name := fmt.Sprintf("test-%d", i)
+		m, n := createMachineNodePair(name, cluster, kcp, true)
+		objs = append(objs, n, m)
+		machines[m.Name] = m
+	}
+
+	fakeClient := newFakeClient(objs...)
+
+	r := &KubeadmControlPlaneReconciler{
+		Client:            fakeClient,
+		managementCluster: &fakeManagementClusterWithError{},
+		recorder:          record.NewFakeRecorder(32),
+	}
+
+	controlPlane := &internal.ControlPlane{
+		KCP:      kcp,
+		Cluster:  cluster,
+		Machines: machines,
+	}
+	controlPlane.InjectTestManagementCluster(r.managementCluster)
+
+	// When updateStatus() returns a non-nil error which is unable to get workload cluster, the original kcp.Status should not be updated.
+	g.Expect(r.updateStatus(ctx, controlPlane)).To(HaveOccurred())
+	g.Expect(kcp.Status.Replicas).To(BeEquivalentTo(3))
+	g.Expect(kcp.Status.ReadyReplicas).To(BeEquivalentTo(3))
+	g.Expect(kcp.Status.UnavailableReplicas).To(BeEquivalentTo(0))
+	g.Expect(kcp.Status.Ready).To(BeTrue())
+}
+
 func TestKubeadmControlPlaneReconciler_machinesCreatedIsIsTrueEvenWhenTheNodesAreNotReady(t *testing.T) {
 	g := NewWithT(t)
 
diff --git a/internal/controllers/machineset/machineset_controller.go b/internal/controllers/machineset/machineset_controller.go
index c499808e79ca..ba2ec0f3cb4d 100644
--- a/internal/controllers/machineset/machineset_controller.go
+++ b/internal/controllers/machineset/machineset_controller.go
@@ -313,6 +313,10 @@ func (r *Reconciler) reconcile(ctx context.Context, cluster *clusterv1.Cluster,
 
 	// Always updates status as machines come up or die.
 	if err := r.updateStatus(ctx, cluster, machineSet, filteredMachines); err != nil {
+		if errors.Is(err, remote.ErrClusterLocked) {
+			log.V(5).Info("Requeuing because another worker has the lock on the ClusterCacheTracker")
+			return ctrl.Result{RequeueAfter: time.Minute}, nil
+		}
 		return ctrl.Result{}, errors.Wrapf(kerrors.NewAggregate([]error{err, syncErr}), "failed to update MachineSet's Status")
 	}
 
@@ -842,7 +846,8 @@ func (r *Reconciler) shouldAdopt(ms *clusterv1.MachineSet) bool {
 }
 
 // updateStatus updates the Status field for the MachineSet
-// It checks for the current state of the replicas and updates the Status of the MachineSet.
+// It checks for the current state of the replicas and updates the Status field of the MachineSet.
+// When unable to retrieve the Node status, it returns error and won't update the Status field of the MachineSet.
 func (r *Reconciler) updateStatus(ctx context.Context, cluster *clusterv1.Cluster, ms *clusterv1.MachineSet, filteredMachines []*clusterv1.Machine) error {
 	log := ctrl.LoggerFrom(ctx)
 	newStatus := ms.Status.DeepCopy()
@@ -880,8 +885,7 @@ func (r *Reconciler) updateStatus(ctx context.Context, cluster *clusterv1.Cluste
 
 		node, err := r.getMachineNode(ctx, cluster, machine)
 		if err != nil && machine.GetDeletionTimestamp().IsZero() {
-			log.Error(err, "Unable to retrieve Node status", "node", klog.KObj(node))
-			continue
+			return errors.Wrapf(err, "Unable to retrieve the status of Node %s", klog.KObj(node))
 		}
 
 		if noderefutil.IsNodeReady(node) {