diff --git a/airbyte-integrations/connectors/source-file-secure/Dockerfile b/airbyte-integrations/connectors/source-file-secure/Dockerfile
index 19d87fd1d4988..ed413e90fee48 100644
--- a/airbyte-integrations/connectors/source-file-secure/Dockerfile
+++ b/airbyte-integrations/connectors/source-file-secure/Dockerfile
@@ -1,4 +1,4 @@
-FROM airbyte/source-file:0.3.7
+FROM airbyte/source-file:0.3.8
 
 WORKDIR /airbyte/integration_code
 COPY source_file_secure ./source_file_secure
@@ -9,5 +9,5 @@ RUN pip install .
 ENV AIRBYTE_ENTRYPOINT "python /airbyte/integration_code/main.py"
 ENTRYPOINT ["python", "/airbyte/integration_code/main.py"]
 
-LABEL io.airbyte.version=0.3.7
+LABEL io.airbyte.version=0.3.8
 LABEL io.airbyte.name=airbyte/source-file-secure
diff --git a/airbyte-integrations/connectors/source-file-secure/metadata.yaml b/airbyte-integrations/connectors/source-file-secure/metadata.yaml
index 64baa1af4f3fb..27abb5ef4f82a 100644
--- a/airbyte-integrations/connectors/source-file-secure/metadata.yaml
+++ b/airbyte-integrations/connectors/source-file-secure/metadata.yaml
@@ -5,7 +5,7 @@ data:
   connectorSubtype: file
   connectorType: source
   definitionId: 778daa7c-feaf-4db6-96f3-70fd645acc77
-  dockerImageTag: 0.3.7
+  dockerImageTag: 0.3.8
   dockerRepository: airbyte/source-file-secure
   githubIssueLabel: source-file
   icon: file.svg
diff --git a/airbyte-integrations/connectors/source-file/Dockerfile b/airbyte-integrations/connectors/source-file/Dockerfile
index e78bfa0518fbc..450949aec6c94 100644
--- a/airbyte-integrations/connectors/source-file/Dockerfile
+++ b/airbyte-integrations/connectors/source-file/Dockerfile
@@ -17,5 +17,5 @@ COPY source_file ./source_file
 ENV AIRBYTE_ENTRYPOINT "python /airbyte/integration_code/main.py"
 ENTRYPOINT ["python", "/airbyte/integration_code/main.py"]
 
-LABEL io.airbyte.version=0.3.7
+LABEL io.airbyte.version=0.3.8
 LABEL io.airbyte.name=airbyte/source-file
diff --git a/airbyte-integrations/connectors/source-file/metadata.yaml b/airbyte-integrations/connectors/source-file/metadata.yaml
index 223931fa714e7..7b6c106804b4f 100644
--- a/airbyte-integrations/connectors/source-file/metadata.yaml
+++ b/airbyte-integrations/connectors/source-file/metadata.yaml
@@ -5,7 +5,7 @@ data:
   connectorSubtype: file
   connectorType: source
   definitionId: 778daa7c-feaf-4db6-96f3-70fd645acc77
-  dockerImageTag: 0.3.7
+  dockerImageTag: 0.3.8
   dockerRepository: airbyte/source-file
   githubIssueLabel: source-file
   icon: file.svg
@@ -14,7 +14,7 @@ data:
   registries:
     cloud:
       dockerRepository: airbyte/source-file-secure
-      dockerImageTag: 0.3.7 # Dont forget to publish source-file-secure as well when updating this.
+      dockerImageTag: 0.3.8 # Dont forget to publish source-file-secure as well when updating this.
       enabled: true
     oss:
       enabled: true
diff --git a/airbyte-integrations/connectors/source-file/source_file/client.py b/airbyte-integrations/connectors/source-file/source_file/client.py
index 04a837cfe0b63..c455ea768c640 100644
--- a/airbyte-integrations/connectors/source-file/source_file/client.py
+++ b/airbyte-integrations/connectors/source-file/source_file/client.py
@@ -96,7 +96,7 @@ def close(self):
 
     def backoff_giveup(self, error):
         # https://github.com/airbytehq/oncall/issues/1954
-        if isinstance(error, SSHException) and str(error) == "Error reading SSH protocol banner":
+        if isinstance(error, SSHException) and str(error).startswith("Error reading SSH protocol banner"):
             # We need to clear smart_open internal _SSH cache from the previous attempt, otherwise:
             # SSHException('SSH session not active')
             # will be raised
diff --git a/airbyte-integrations/connectors/source-file/unit_tests/test_client.py b/airbyte-integrations/connectors/source-file/unit_tests/test_client.py
index aa0c579634781..4f23d96bd8859 100644
--- a/airbyte-integrations/connectors/source-file/unit_tests/test_client.py
+++ b/airbyte-integrations/connectors/source-file/unit_tests/test_client.py
@@ -170,7 +170,7 @@ def patched_open(self):
         nonlocal call_count
         call_count += 1
         if call_count < 7:
-            raise SSHException("Error reading SSH protocol banner")
+            raise SSHException("Error reading SSH protocol banner[Errno 104] Connection reset by peer")
         return result
 
     sleep_mock = mocker.patch("time.sleep")
diff --git a/docs/integrations/sources/file.md b/docs/integrations/sources/file.md
index 8e1ee885f4f09..fce984e6333e6 100644
--- a/docs/integrations/sources/file.md
+++ b/docs/integrations/sources/file.md
@@ -191,6 +191,7 @@ In order to read large files from a remote location, this connector uses the [sm
 
 | Version | Date       | Pull Request                                             | Subject                                                                                                 |
 |:--------|:-----------|:---------------------------------------------------------|:--------------------------------------------------------------------------------------------------------|
+| 0.3.8   | 2023-05-17 | [26210](https://github.com/airbytehq/airbyte/pull/26210) | Bugfix for https://github.com/airbytehq/airbyte/pull/26115                                              |
 | 0.3.7   | 2023-05-16 | [26131](https://github.com/airbytehq/airbyte/pull/26131) | Re-release source-file to be in sync with source-file-secure                                            |
 | 0.3.6   | 2023-05-16 | [26115](https://github.com/airbytehq/airbyte/pull/26115) | Add retry on SSHException('Error reading SSH protocol banner')                                          |
 | 0.3.5   | 2023-05-16 | [26117](https://github.com/airbytehq/airbyte/pull/26117) | Check if reader options is a valid JSON object                                                          |