diff --git a/assignment-client/src/assets/AssetServer.cpp b/assignment-client/src/assets/AssetServer.cpp
index cacbb25e5b..b2ebdaccc9 100644
--- a/assignment-client/src/assets/AssetServer.cpp
+++ b/assignment-client/src/assets/AssetServer.cpp
@@ -266,6 +266,12 @@ AssetServer::AssetServer(ReceivedMessage& message) :
     _transferTaskPool(this),
     _bakingTaskPool(this)
 {
+    // store the current state of image compression so we can reset it when this assignment is complete
+    _wasColorTextureCompressionEnabled = image::isColorTexturesCompressionEnabled();
+    _wasGrayscaleTextureCompressionEnabled = image::isGrayscaleTexturesCompressionEnabled();
+    _wasNormalTextureCompressionEnabled = image::isNormalTexturesCompressionEnabled();
+    _wasCubeTextureCompressionEnabled = image::isCubeTexturesCompressionEnabled();
+
     // enable compression in image library
     image::setColorTexturesCompressionEnabled(true);
     image::setGrayscaleTexturesCompressionEnabled(true);
@@ -302,6 +308,14 @@ AssetServer::AssetServer(ReceivedMessage& message) :
 #endif
 }
 
+void AssetServer::aboutToFinish() {
+    // re-set defaults in image library
+    image::setColorTexturesCompressionEnabled(_wasCubeTextureCompressionEnabled);
+    image::setGrayscaleTexturesCompressionEnabled(_wasGrayscaleTextureCompressionEnabled);
+    image::setNormalTexturesCompressionEnabled(_wasNormalTextureCompressionEnabled);
+    image::setCubeTexturesCompressionEnabled(_wasCubeTextureCompressionEnabled);
+}
+
 void AssetServer::run() {
 
     qCDebug(asset_server) << "Waiting for connection to domain to request settings from domain-server.";
diff --git a/assignment-client/src/assets/AssetServer.h b/assignment-client/src/assets/AssetServer.h
index 44e16272b2..907726e1ab 100644
--- a/assignment-client/src/assets/AssetServer.h
+++ b/assignment-client/src/assets/AssetServer.h
@@ -64,6 +64,8 @@ class AssetServer : public ThreadedAssignment {
 public:
     AssetServer(ReceivedMessage& message);
 
+    void aboutToFinish() override;
+
 public slots:
     void run() override;
 
@@ -137,6 +139,11 @@ private:
 
     QHash<AssetHash, std::shared_ptr<BakeAssetTask>> _pendingBakes;
     QThreadPool _bakingTaskPool;
+
+    bool _wasColorTextureCompressionEnabled { false };
+    bool _wasGrayscaleTextureCompressionEnabled { false  };
+    bool _wasNormalTextureCompressionEnabled { false };
+    bool _wasCubeTextureCompressionEnabled { false };
 };
 
 #endif