diff --git a/deepspeed/runtime/pipe/module.py b/deepspeed/runtime/pipe/module.py
index 9fbd91f750a9..49fa2807c355 100644
--- a/deepspeed/runtime/pipe/module.py
+++ b/deepspeed/runtime/pipe/module.py
@@ -116,7 +116,9 @@ def forward(self, inputs):
         partition_method (str, optional): The method upon which the layers are partitioned. Defaults to 'parameters'.
         activation_checkpoint_interval (int, optional): The granularity activation checkpointing in terms of number of layers. 0 disables activation checkpointing.
         activation_checkpoint_func (callable, optional): The function to use for activation checkpointing. Defaults to ``deepspeed.checkpointing.checkpoint``.
-        checkpointable_layers(list, optional): Checkpointable layers may not be checkpointed. Defaults to None which does not additional filtering.
+        checkpointable_layers (list[str], optional): List of layer class names that are eligible for checkpointing. For GPT models,
+            ParallelTransformerLayerPipe is always checkpointed regardless of this list. If None, all layers with parameters are
+            considered checkpointable. Defaults to None.
         dynamic_shape: Allows dynamic shapes of inputs. This might have a performance impact.
     """
 
@@ -650,9 +652,17 @@ def _is_checkpointable(self, funcs):
             # because only non_reentrant_checkpoint can accept inputs with requires_grad=False
             # otherwise, the backward of the embedding layer won't receive gradients.
             if self.__class__.__name__ in ('GPTModelPipe', 'GPT2ModelPipe'):
-                return all('ParallelTransformerLayerPipe' in f.__class__.__name__ for f in funcs)
+                # For GPT models, checkpoint both transformer layers and any additional
+                # layers specified in checkpointable_layers (if provided)
+                return all('ParallelTransformerLayerPipe' in f.__class__.__name__ or (
+                    self.checkpointable_layers is not None and f.__class__.__name__ in self.checkpointable_layers)
+                           for f in funcs)
+
         if self.checkpointable_layers is not None:
+            # For non-GPT models, only checkpoint layers specified in checkpointable_layers
             return all(f.__class__.__name__ in self.checkpointable_layers for f in funcs)
+
+        # Default behavior: checkpoint any layer that has parameters
         params = [f.parameters() for f in funcs if isinstance(f, torch.nn.Module)]
         return any(len(list(p)) > 0 for p in params)
 
diff --git a/tests/unit/runtime/activation_checkpointing/test_activation_checkpointing.py b/tests/unit/runtime/activation_checkpointing/test_activation_checkpointing.py
index 22a61003b31e..dd3bcd7fb6bd 100644
--- a/tests/unit/runtime/activation_checkpointing/test_activation_checkpointing.py
+++ b/tests/unit/runtime/activation_checkpointing/test_activation_checkpointing.py
@@ -8,6 +8,7 @@
 import pytest
 import torch
 import deepspeed
+from deepspeed.pipe import PipelineModule, LayerSpec
 from deepspeed.accelerator import get_accelerator
 from copy import deepcopy
 from unit.common import DistributedTest
@@ -259,3 +260,52 @@ def test_ckpt_non_tensor_output_ordering(self, non_tensor_output):
         else:
             ordering += [torch.is_tensor(non_tensor_output)]
         _test_activation_checkpoint_ordering(module, ordering, inputs)
+
+
+class TestCheckpointableLayersConfig(DistributedTest):
+    world_size = 1
+
+    def test_gpt2_checkpointable_layers(self):
+        if get_accelerator().device_name() == "cpu":
+            pytest.skip("CPU accelerator does not support this test yet")
+
+        # Create a simple topology for testing
+        from deepspeed.runtime.pipe.topology import PipeModelDataParallelTopology
+        topo = PipeModelDataParallelTopology(num_pp=1, num_mp=1, num_dp=1)
+
+        # Create test classes that we want to checkpoint
+        class TestTransformerLayer(torch.nn.Module):
+
+            def forward(self, x):
+                return x
+
+        class ParallelTransformerLayerPipe(TestTransformerLayer):
+            pass
+
+        class GMLPBlock(TestTransformerLayer):
+            pass
+
+        # Create a mock GPT2 model with different layer types
+        class TestGPT2ModelPipe(PipelineModule):
+
+            def __init__(self):
+                self.layers_spec = [
+                    LayerSpec(ParallelTransformerLayerPipe),
+                    LayerSpec(GMLPBlock),
+                    LayerSpec(torch.nn.Linear, 10, 10),  # Should not be checkpointed
+                ]
+
+                super().__init__(layers=self.layers_spec,
+                                 topology=topo,
+                                 checkpointable_layers=["GMLPBlock", "ParallelTransformerLayerPipe"])
+
+        model = TestGPT2ModelPipe()
+        model.to(get_accelerator().device_name())
+
+        # Build layers manually for testing
+        layers = [spec.build() for spec in model.layers_spec]
+
+        # Test that _is_checkpointable returns correct values
+        assert model._is_checkpointable([layers[0]]) == True  # ParallelTransformerLayerPipe
+        assert model._is_checkpointable([layers[1]]) == True  # GMLPBlock
+        assert model._is_checkpointable([layers[2]]) == False  # Linear layer