Abstract: Lipid droplets (LDs) are cellular organelles which can be found in nearly all eukaryotic cells. Despite their importance in cell biology as highlighted by their implication in many devastating diseases, the mechanism underlying LD biogenesis remains largely unknown. Here we report that conditions of endoplasmic reticulum (ER) stress stimulate LD formation in Saccharomyces cerevisiae. We found that LDs accumulated in yeast mutants with compromised protein glycosylation or ER-associated protein degradation. Moreover, Tunicamycin and Brefeldin A, agents which induce ER stress were found to stimulate LD formation. In contrast the restoration of protein glycosylation reduced LD accumulation. Interestingly, enhanced neutral lipids synthesis and LD formation under conditions of ER stress was not dependent on Ire1p. Lastly, we demonstrated that the absence of LDs did not compromise cell viability under ER stress. Our results suggest that although more LDs are produced, LDs are not essential to cell survival under ER stress.