diff --git a/python/ray/_private/runtime_env/context.py b/python/ray/_private/runtime_env/context.py
index aef28dfd4ae4..733860da475b 100644
--- a/python/ray/_private/runtime_env/context.py
+++ b/python/ray/_private/runtime_env/context.py
@@ -2,6 +2,7 @@
 import logging
 import os
 import subprocess
+import shlex
 import sys
 from typing import Any, Dict, List, Optional
 
@@ -48,11 +49,11 @@ def exec_worker(self, passthrough_args: List[str], language: Language):
         update_envs(self.env_vars)
 
         if language == Language.PYTHON and sys.platform == "win32":
-            executable = self.py_executable
+            executable = [self.py_executable]
         elif language == Language.PYTHON:
-            executable = f"exec {self.py_executable}"
+            executable = ["exec", self.py_executable]
         elif language == Language.JAVA:
-            executable = "java"
+            executable = ["java"]
             ray_jars = os.path.join(get_ray_jars_dir(), "*")
 
             local_java_jars = []
@@ -63,9 +64,9 @@ def exec_worker(self, passthrough_args: List[str], language: Language):
             class_path_args = ["-cp", ray_jars + ":" + str(":".join(local_java_jars))]
             passthrough_args = class_path_args + passthrough_args
         elif sys.platform == "win32":
-            executable = ""
+            executable = []
         else:
-            executable = "exec "
+            executable = ["exec"]
 
         # By default, raylet uses the path to default_worker.py on host.
         # However, the path to default_worker.py inside the container
@@ -79,29 +80,29 @@ def exec_worker(self, passthrough_args: List[str], language: Language):
             )
             passthrough_args[0] = default_worker_path
 
-        passthrough_args = [s.replace(" ", r"\ ") for s in passthrough_args]
-        exec_command = " ".join([f"{executable}"] + passthrough_args)
-        command_str = " ".join(self.command_prefix + [exec_command])
-        # TODO(SongGuyang): We add this env to command for macOS because it doesn't
-        # work for the C++ process of `os.execvp`. We should find a better way to
-        # fix it.
-        MACOS_LIBRARY_PATH_ENV_NAME = "DYLD_LIBRARY_PATH"
-        if MACOS_LIBRARY_PATH_ENV_NAME in os.environ:
-            command_str = (
-                MACOS_LIBRARY_PATH_ENV_NAME
-                + "="
-                + os.environ.get(MACOS_LIBRARY_PATH_ENV_NAME)
-                + " "
-                + command_str
-            )
-        logger.debug(f"Exec'ing worker with command: {command_str}")
         if sys.platform == "win32":
-            cmd = [*self.command_prefix, executable, *passthrough_args]
+            cmd = [*self.command_prefix, *executable, *passthrough_args]
+            logger.debug(f"Exec'ing worker with command: {cmd}")
             subprocess.Popen(cmd, shell=True).wait()
         else:
+            # We use shlex to do the necessary shell escape
+            # of special characters in passthrough_args.
+            passthrough_args = [shlex.quote(s) for s in passthrough_args]
+            cmd = [*self.command_prefix, *executable, *passthrough_args]
+            # TODO(SongGuyang): We add this env to command for macOS because it doesn't
+            # work for the C++ process of `os.execvp`. We should find a better way to
+            # fix it.
+            MACOS_LIBRARY_PATH_ENV_NAME = "DYLD_LIBRARY_PATH"
+            if MACOS_LIBRARY_PATH_ENV_NAME in os.environ:
+                cmd.insert(
+                    0,
+                    f"{MACOS_LIBRARY_PATH_ENV_NAME}="
+                    f"{os.environ[MACOS_LIBRARY_PATH_ENV_NAME]}",
+                )
+            logger.debug(f"Exec'ing worker with command: {cmd}")
             # PyCharm will monkey patch the os.execvp at
             # .pycharm_helpers/pydev/_pydev_bundle/pydev_monkey.py
             # The monkey patched os.execvp function has a different
             # signature. So, we use os.execvp("executable", args=[])
             # instead of os.execvp(file="executable", args=[])
-            os.execvp("bash", args=["bash", "-c", command_str])
+            os.execvp("bash", args=["bash", "-c", " ".join(cmd)])
diff --git a/python/ray/_private/services.py b/python/ray/_private/services.py
index 867b748a0e8d..c09b5c0c9fc4 100644
--- a/python/ray/_private/services.py
+++ b/python/ray/_private/services.py
@@ -1661,7 +1661,6 @@ def start_raylet(
             f"--object-store-name={plasma_store_name}",
             f"--raylet-name={raylet_name}",
             f"--redis-address={redis_address}",
-            f"--temp-dir={temp_dir}",
             f"--metrics-agent-port={metrics_agent_port}",
             f"--runtime-env-agent-port={runtime_env_agent_port}",
             f"--logging-rotate-bytes={max_bytes}",
diff --git a/python/ray/tests/test_storage.py b/python/ray/tests/test_storage.py
index f1d7659cf17c..952a86f94068 100644
--- a/python/ray/tests/test_storage.py
+++ b/python/ray/tests/test_storage.py
@@ -1,4 +1,5 @@
 import os
+import sys
 import subprocess
 import urllib
 from pathlib import Path
@@ -64,6 +65,24 @@ def test_get_filesystem_s3(shutdown_only):
         assert isinstance(fs, pyarrow.fs.S3FileSystem), fs
 
 
+@pytest.mark.skipif(
+    sys.platform == "win32", reason="The issue is not fixed for windows yet"
+)
+def test_escape_storage_uri_with_runtime_env(shutdown_only):
+    # https://github.com/ray-project/ray/issues/41568
+    # Test to make sure we can successfully start worker process
+    # when storage uri contains ? and we use runtime env.
+    with simulate_storage("s3") as s3_uri:
+        assert "?" in s3_uri
+        ray.init(storage=s3_uri, runtime_env={"env_vars": {"TEST_ENV": "1"}})
+
+        @ray.remote
+        def f():
+            return 1
+
+        assert ray.get(f.remote()) == 1
+
+
 def test_get_filesystem_invalid(shutdown_only, tmp_path):
     with pytest.raises(pyarrow.lib.ArrowInvalid):
         ray.init(storage="blahblah://bad")