diff --git a/guake/guake_app.py b/guake/guake_app.py
index aa4d671be..b645dc545 100644
--- a/guake/guake_app.py
+++ b/guake/guake_app.py
@@ -1123,11 +1123,13 @@ def recompute_tabs_titles(self):
         if not use_vte_titles:
             return
 
-        # TODO NOTEBOOK this code only works if there is only one terminal in a
-        # page, this need to be rewritten
-        for terminal in self.get_notebook().iter_terminals():
-            page_num = self.get_notebook().page_num(terminal.get_parent())
-            self.get_notebook().rename_page(page_num, self.compute_tab_title(terminal), False)
+        notebook = self.get_notebook()
+        for page_num in range(notebook.get_n_pages()):
+            terminals = notebook.get_terminals_for_page(page_num)
+            if terminals:
+                main_terminal = terminals[0]
+                new_title = self.compute_tab_title(main_terminal)
+                notebook.rename_page(page_num, new_title, False)
 
     def load_cwd_guake_yaml(self, vte) -> dict:
         # Read the content of .guake.yml in cwd
diff --git a/releasenotes/notes/bugfix-tab-names.yaml b/releasenotes/notes/bugfix-tab-names.yaml
new file mode 100644
index 000000000..3054aa5ca
--- /dev/null
+++ b/releasenotes/notes/bugfix-tab-names.yaml
@@ -0,0 +1,5 @@
+---
+fixes:
+  - |
+    Fix shortened path tab names layout issue (#2321). 
+    Tabs now correctly update their shortened titles regardless of splits layout.