diff --git a/core/src/enterprise/buffered-event-stream.ts b/core/src/enterprise/buffered-event-stream.ts
index 20bfbc6bbd..622d5e80b1 100644
--- a/core/src/enterprise/buffered-event-stream.ts
+++ b/core/src/enterprise/buffered-event-stream.ts
@@ -71,13 +71,6 @@ export interface ApiLogBatch extends ApiBatchBase {
 
 export const controlEventNames: Set<EventName> = new Set(["_workflowRunRegistered"])
 
-/**
- * We use 600 kilobytes as the maximum combined size of the events / log entries in a given batch. This number
- * was chosen to fit comfortably below e.g. nginx' default max request size, while still being able to carry a decent
- * number of records.
- */
-export const MAX_BATCH_BYTES = 600 * 1000 // 600 kilobytes
-
 /**
  * Buffers events and log entries and periodically POSTs them to Garden Enterprise or another Garden service.
  *
@@ -107,6 +100,13 @@ export class BufferedEventStream {
   private bufferedLogEntries: LogEntryEvent[]
   protected intervalMsec = 1000
 
+  /**
+   * We use 600 kilobytes as the maximum combined size of the events / log entries in a given batch. This number
+   * was chosen to fit comfortably below e.g. nginx' default max request size, while still being able to carry a decent
+   * number of records.
+   */
+  private maxBatchBytes = 600 * 1024 // 600 kilobytes
+
   constructor(log: LogEntry, sessionId: string) {
     this.sessionId = sessionId
     this.log = log
@@ -255,7 +255,7 @@ export class BufferedEventStream {
        * We don't throw an exception here, since a failure to stream events and log entries doesn't mean that the
        * command failed.
        */
-      this.log.error(`Error while flushing events and log entries: ${err.message}`)
+      this.log.debug(`Error while flushing events and log entries: ${err.message}`)
     }
   }
 
@@ -300,14 +300,16 @@ export class BufferedEventStream {
   makeBatch<B>(buffered: B[]): B[] {
     const batch: B[] = []
     let batchBytes = 0
-    while (batchBytes < MAX_BATCH_BYTES && buffered.length > 0) {
-      const nextRecordBytes = Buffer.from(JSON.stringify(buffered[0])).length
-      if (batchBytes + nextRecordBytes > MAX_BATCH_BYTES) {
-        break
-      }
-      if (nextRecordBytes > MAX_BATCH_BYTES) {
+    while (batchBytes < this.maxBatchBytes && buffered.length > 0) {
+      let nextRecordBytes = Buffer.from(JSON.stringify(buffered[0])).length
+      if (nextRecordBytes > this.maxBatchBytes) {
         this.log.error(`Event or log entry too large to flush, dropping it.`)
         this.log.debug(JSON.stringify(buffered[0]))
+        buffered.shift() // Drop first record.
+        nextRecordBytes = Buffer.from(JSON.stringify(buffered[0])).length
+      }
+      if (batchBytes + nextRecordBytes > this.maxBatchBytes) {
+        break
       }
       batch.push(buffered.shift() as B)
       batchBytes += nextRecordBytes
diff --git a/core/test/unit/src/platform/buffered-event-stream.ts b/core/test/unit/src/enterprise/buffered-event-stream.ts
similarity index 58%
rename from core/test/unit/src/platform/buffered-event-stream.ts
rename to core/test/unit/src/enterprise/buffered-event-stream.ts
index d8e22c068e..562b4c5820 100644
--- a/core/test/unit/src/platform/buffered-event-stream.ts
+++ b/core/test/unit/src/enterprise/buffered-event-stream.ts
@@ -11,7 +11,11 @@ import { StreamEvent, LogEntryEvent, BufferedEventStream } from "../../../../src
 import { getLogger } from "../../../../src/logger/logger"
 import { Garden } from "../../../../src/garden"
 import { makeTestGardenA } from "../../../helpers"
-import { find, isMatch } from "lodash"
+import { find, isMatch, range, repeat } from "lodash"
+
+function makeDummyRecord(sizeKb: number) {
+  return { someKey: repeat("a", sizeKb * 1024) }
+}
 
 describe("BufferedEventStream", () => {
   const getConnectionParams = (garden: Garden) => ({
@@ -89,4 +93,42 @@ describe("BufferedEventStream", () => {
 
     expect(find(flushedEvents, (e) => isMatch(e, { name: "_test", payload: "event" }))).to.exist
   })
+
+  describe("makeBatch", () => {
+    const maxBatchBytes = 3 * 1024 // Set this to a low value (3 Kb) to keep the memory use of the test suite low.
+    it("should pick records until the batch size reaches MAX_BATCH_BYTES", async () => {
+      const recordSizeKb = 0.5
+      const log = getLogger().placeholder()
+      const bufferedEventStream = new BufferedEventStream(log, "dummy-session-id")
+      bufferedEventStream["maxBatchBytes"] = maxBatchBytes
+      // Total size is ~3MB, which exceeds MAX_BATCH_BYTES
+      const records = range(100).map((_) => makeDummyRecord(recordSizeKb))
+      const batch = bufferedEventStream.makeBatch(records)
+      const batchSize = Buffer.from(JSON.stringify(batch)).length
+      expect(batch.length).to.be.lte(records.length)
+      expect(batch.length).to.be.lte(maxBatchBytes / (recordSizeKb * 1024))
+      expect(batchSize).to.be.lte(maxBatchBytes)
+    })
+
+    it("should drop individual records whose payload size exceeds MAX_BATCH_BYTES", async () => {
+      const recordSizeKb = 0.5
+      const log = getLogger().placeholder()
+      const bufferedEventStream = new BufferedEventStream(log, "dummy-session-id")
+      bufferedEventStream["maxBatchBytes"] = maxBatchBytes
+      // This record's size, exceeds MAX_BATCH_BYTES, so it should be dropped by `makeBatch`.
+      const tooLarge = {
+        ...makeDummyRecord(maxBatchBytes / 1024 + 3),
+        tag: "tooLarge",
+      }
+      const records = [tooLarge, ...range(100).map((_) => makeDummyRecord(recordSizeKb))]
+      const batch = bufferedEventStream.makeBatch(records)
+      const batchSize = Buffer.from(JSON.stringify(batch)).length
+
+      expect(batch.find((r) => r["tag"] === "tooLarge")).to.be.undefined // We expect `tooLarge` to have been dropped.
+      expect(batch.length).to.be.gte(3)
+      expect(batch.length).to.be.lte(records.length)
+      expect(batch.length).to.be.lte(maxBatchBytes / (recordSizeKb * 1024))
+      expect(batchSize).to.be.lte(maxBatchBytes)
+    })
+  })
 })