diff --git a/sdks/python/apache_beam/runners/worker/statesampler.py b/sdks/python/apache_beam/runners/worker/statesampler.py
index b9c75f4de93d..fb5c9f81b764 100644
--- a/sdks/python/apache_beam/runners/worker/statesampler.py
+++ b/sdks/python/apache_beam/runners/worker/statesampler.py
@@ -29,6 +29,7 @@
 from apache_beam.utils.counters import Counter
 from apache_beam.utils.counters import CounterFactory
 from apache_beam.utils.counters import CounterName
+from apache_beam.utils.threads import ParentAwareThread
 
 try:
   from apache_beam.runners.worker import statesampler_fast as statesampler_impl  # type: ignore
@@ -40,18 +41,39 @@
 if TYPE_CHECKING:
   from apache_beam.metrics.execution import MetricsContainer
 
-_STATE_SAMPLERS = threading.local()
+# Global dictionary to store state samplers keyed by thread id.
+_STATE_SAMPLERS = {}
+_STATE_SAMPLERS_LOCK = threading.Lock()
 
 
 def set_current_tracker(tracker):
-  _STATE_SAMPLERS.tracker = tracker
+  """Sets state tracker for the calling thread."""
+  with _STATE_SAMPLERS_LOCK:
+    if (tracker is None):
+      _STATE_SAMPLERS.pop(threading.get_ident())
+      return
+
+    _STATE_SAMPLERS[threading.get_ident()] = tracker
 
 
 def get_current_tracker():
-  try:
-    return _STATE_SAMPLERS.tracker
-  except AttributeError:
-    return None
+  """Retrieve state tracker for the calling thread.
+
+  If the thread is a ParentAwareThread (child thread that work was handed off
+  to) it attempts to retrieve the tracker associated with its parent thread.
+
+  """
+  current_thread_id = threading.get_ident()
+
+  with _STATE_SAMPLERS_LOCK:
+    if current_thread_id in _STATE_SAMPLERS:
+      return _STATE_SAMPLERS[current_thread_id]
+
+    current_thread = threading.current_thread()
+    if isinstance(current_thread, ParentAwareThread
+                  ) and current_thread.parent_thread_id in _STATE_SAMPLERS:
+      return _STATE_SAMPLERS.get(current_thread.parent_thread_id)
+  return None
 
 
 _INSTRUCTION_IDS = threading.local()
diff --git a/sdks/python/apache_beam/transforms/core.py b/sdks/python/apache_beam/transforms/core.py
index d7415e8d8135..9c700bc97ba9 100644
--- a/sdks/python/apache_beam/transforms/core.py
+++ b/sdks/python/apache_beam/transforms/core.py
@@ -2592,17 +2592,29 @@ def __getattribute__(self, name):
       return getattr(self._fn, name)
 
   def process(self, *args, **kwargs):
-    if self._pool is None:
-      self._pool = concurrent.futures.ThreadPoolExecutor(10)
-    # Ensure we iterate over the entire output list in the given amount of time.
-    try:
-      return self._pool.submit(
-          lambda: list(self._fn.process(*args, **kwargs))).result(
-              self._timeout)
-    except TimeoutError:
-      self._pool.shutdown(wait=False)
-      self._pool = None
-      raise
+    from apache_beam.utils.threads import ParentAwareThread
+
+    results = []
+    exception = None
+
+    def run_process():
+      try:
+        results.extend(self._fn.process(*args, **kwargs))
+      except Exception as e:
+        nonlocal exception
+        exception = e
+
+    thread = ParentAwareThread(target=run_process)
+    thread.start()
+    thread.join(self._timeout)
+
+    if thread.is_alive():
+      raise TimeoutError()
+
+    if exception is not None:
+      raise exception
+
+    return results
 
   def teardown(self):
     try:
diff --git a/sdks/python/apache_beam/transforms/ptransform_test.py b/sdks/python/apache_beam/transforms/ptransform_test.py
index a51d5cd83d26..a026ced6e98a 100644
--- a/sdks/python/apache_beam/transforms/ptransform_test.py
+++ b/sdks/python/apache_beam/transforms/ptransform_test.py
@@ -2780,6 +2780,31 @@ def test_timeout(self):
                     ('slow', 'TimeoutError()')]),
           label='CheckBad')
 
+  def test_increment_counter(self):
+    # Counters are not currently supported for
+    # ParDo#with_exception_handling(use_subprocess=True).
+    if (self.use_subprocess):
+      return
+
+    class CounterDoFn(beam.DoFn):
+      def __init__(self):
+        self.records_counter = Metrics.counter(self.__class__, 'recordsCounter')
+
+      def process(self, element):
+        self.records_counter.inc()
+
+    with TestPipeline() as p:
+      _, _ = (
+          (p | beam.Create([1,2,3])) | beam.ParDo(CounterDoFn())
+          .with_exception_handling(
+            use_subprocess=self.use_subprocess, timeout=1))
+    results = p.result
+    metric_results = results.metrics().query(
+        MetricsFilter().with_name("recordsCounter"))
+    records_counter = metric_results['counters'][0]
+    self.assertEqual(records_counter.key.metric.name, 'recordsCounter')
+    self.assertEqual(records_counter.result, 3)
+
   def test_lifecycle(self):
     die = type(self).die
 
diff --git a/sdks/python/apache_beam/utils/threads.py b/sdks/python/apache_beam/utils/threads.py
new file mode 100644
index 000000000000..c269bb45db6a
--- /dev/null
+++ b/sdks/python/apache_beam/utils/threads.py
@@ -0,0 +1,35 @@
+#
+# Licensed to the Apache Software Foundation (ASF) under one or more
+# contributor license agreements.  See the NOTICE file distributed with
+# this work for additional information regarding copyright ownership.
+# The ASF licenses this file to You under the Apache License, Version 2.0
+# (the "License"); you may not use this file except in compliance with
+# the License.  You may obtain a copy of the License at
+#
+#    http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+#
+
+import threading
+
+
+class ParentAwareThread(threading.Thread):
+  """
+  A thread subclass that is aware of its parent thread.
+  
+  This is useful in scenarios where work is executed in a child thread
+  (e.g. ParDo#with_exception_handling(timeout)) and the child thread requires
+  access to parent thread scoped state variables (e.g. state sampler).
+
+  Attributes:
+    parent_thread_id (int): The identifier of the parent thread that created
+      this thread instance.
+  """
+  def __init__(self, *args, **kwargs):
+    super().__init__(*args, **kwargs)
+    self.parent_thread_id = threading.current_thread().ident
diff --git a/sdks/python/apache_beam/utils/threads_test.py b/sdks/python/apache_beam/utils/threads_test.py
new file mode 100644
index 000000000000..77bad8946586
--- /dev/null
+++ b/sdks/python/apache_beam/utils/threads_test.py
@@ -0,0 +1,39 @@
+#
+# Licensed to the Apache Software Foundation (ASF) under one or more
+# contributor license agreements.  See the NOTICE file distributed with
+# this work for additional information regarding copyright ownership.
+# The ASF licenses this file to You under the Apache License, Version 2.0
+# (the "License"); you may not use this file except in compliance with
+# the License.  You may obtain a copy of the License at
+#
+#    http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+#
+
+"""Unit tests for thread utilities."""
+
+import unittest
+import threading
+
+from apache_beam.utils.threads import ParentAwareThread
+
+
+class ParentAwareThreadTest(unittest.TestCase):
+  def test_child_tread_can_access_parent_thread_id(self):
+    expected_parent_thread_id = threading.get_ident()
+    actual_parent_thread_id = None
+
+    def get_parent_thread_id():
+      nonlocal actual_parent_thread_id
+      actual_parent_thread_id = threading.current_thread().parent_thread_id
+
+    thread = ParentAwareThread(target=get_parent_thread_id)
+    thread.start()
+    thread.join()
+
+    self.assertEqual(expected_parent_thread_id, actual_parent_thread_id)