diff --git a/rusk/src/lib/lib.rs b/rusk/src/lib/lib.rs
index d419239084..d91f82a772 100644
--- a/rusk/src/lib/lib.rs
+++ b/rusk/src/lib/lib.rs
@@ -112,6 +112,7 @@ impl Rusk {
         block_gas_limit: u64,
         generator: &BlsPublicKey,
         txs: I,
+        missed_generators: &[BlsPublicKey],
     ) -> Result<(Vec<SpentTransaction>, Vec<Transaction>, VerificationOutput)>
     {
         let inner = self.inner.lock();
@@ -179,11 +180,12 @@ impl Rusk {
             }
         }
 
-        reward_and_update_root(
+        reward_slash_and_update_root(
             &mut session,
             block_height,
             dusk_spent,
             generator,
+            missed_generators,
         )?;
 
         let state_root = session.root();
@@ -206,6 +208,7 @@ impl Rusk {
         block_gas_limit: u64,
         generator: &BlsPublicKey,
         txs: &[Transaction],
+        missed_generators: &[BlsPublicKey],
     ) -> Result<(Vec<SpentTransaction>, VerificationOutput)> {
         let inner = self.inner.lock();
 
@@ -213,7 +216,14 @@ impl Rusk {
         let mut session =
             rusk_abi::new_session(&inner.vm, current_commit, block_height)?;
 
-        accept(&mut session, block_height, block_gas_limit, generator, txs)
+        accept(
+            &mut session,
+            block_height,
+            block_gas_limit,
+            generator,
+            txs,
+            missed_generators,
+        )
     }
 
     /// Accept the given transactions.
@@ -228,6 +238,7 @@ impl Rusk {
         generator: BlsPublicKey,
         txs: Vec<Transaction>,
         consistency_check: Option<VerificationOutput>,
+        missed_generators: &[BlsPublicKey],
     ) -> Result<(Vec<SpentTransaction>, VerificationOutput)> {
         let mut inner = self.inner.lock();
 
@@ -241,6 +252,7 @@ impl Rusk {
             block_gas_limit,
             &generator,
             &txs[..],
+            missed_generators,
         )?;
 
         if let Some(expected_verification) = consistency_check {
@@ -269,6 +281,7 @@ impl Rusk {
         generator: BlsPublicKey,
         txs: Vec<Transaction>,
         consistency_check: Option<VerificationOutput>,
+        missed_generators: &[BlsPublicKey],
     ) -> Result<(Vec<SpentTransaction>, VerificationOutput)> {
         let mut inner = self.inner.lock();
 
@@ -282,6 +295,7 @@ impl Rusk {
             block_gas_limit,
             &generator,
             &txs[..],
+            missed_generators,
         )?;
 
         if let Some(expected_verification) = consistency_check {
@@ -620,6 +634,7 @@ fn accept(
     block_gas_limit: u64,
     generator: &BlsPublicKey,
     txs: &[Transaction],
+    missed_generators: &[BlsPublicKey],
 ) -> Result<(Vec<SpentTransaction>, VerificationOutput)> {
     let mut block_gas_left = block_gas_limit;
 
@@ -651,7 +666,13 @@ fn accept(
         });
     }
 
-    reward_and_update_root(session, block_height, dusk_spent, generator)?;
+    reward_slash_and_update_root(
+        session,
+        block_height,
+        dusk_spent,
+        generator,
+        missed_generators,
+    )?;
 
     let state_root = session.root();
     let event_hash = event_hasher.finalize().into();
@@ -717,11 +738,12 @@ fn update_hasher(hasher: &mut Sha3_256, event: Event) {
     hasher.update(event.data);
 }
 
-fn reward_and_update_root(
+fn reward_slash_and_update_root(
     session: &mut Session,
     block_height: u64,
     dusk_spent: Dusk,
     generator: &BlsPublicKey,
+    slashing: &[BlsPublicKey],
 ) -> Result<()> {
     let (dusk_value, generator_value) =
         coinbase_value(block_height, dusk_spent);
@@ -738,6 +760,16 @@ fn reward_and_update_root(
         &(*generator, generator_value),
         u64::MAX,
     )?;
+    let slash_amount = emission_amount(block_height) / 255;
+
+    for to_slash in slashing {
+        session.call::<_, ()>(
+            STAKE_CONTRACT,
+            "slash",
+            &(*to_slash, slash_amount),
+            u64::MAX,
+        )?;
+    }
 
     session.call::<_, ()>(TRANSFER_CONTRACT, "update_root", &(), u64::MAX)?;
 
diff --git a/rusk/src/lib/vm.rs b/rusk/src/lib/vm.rs
index 145f2000a7..1104c2a5f4 100644
--- a/rusk/src/lib/vm.rs
+++ b/rusk/src/lib/vm.rs
@@ -33,6 +33,7 @@ impl VMExecution for Rusk {
                 params.block_gas_limit,
                 params.generator_pubkey.inner(),
                 txs,
+                &params.missed_generators[..],
             )
             .map_err(|inner| {
                 anyhow::anyhow!("Cannot execute txs: {inner}!!")
@@ -57,6 +58,7 @@ impl VMExecution for Rusk {
                 blk.header().gas_limit,
                 &generator,
                 blk.txs(),
+                &blk.header().failed_iterations.to_missed_generators()?,
             )
             .map_err(|inner| anyhow::anyhow!("Cannot verify txs: {inner}!!"))?;
 
@@ -83,6 +85,7 @@ impl VMExecution for Rusk {
                     state_root: blk.header().state_hash,
                     event_hash: blk.header().event_hash,
                 }),
+                &blk.header().failed_iterations.to_missed_generators()?,
             )
             .map_err(|inner| anyhow::anyhow!("Cannot accept txs: {inner}!!"))?;
 
@@ -109,6 +112,7 @@ impl VMExecution for Rusk {
                     state_root: blk.header().state_hash,
                     event_hash: blk.header().event_hash,
                 }),
+                &blk.header().failed_iterations.to_missed_generators()?,
             )
             .map_err(|inner| {
                 anyhow::anyhow!("Cannot finalize txs: {inner}!!")
diff --git a/rusk/tests/common/state.rs b/rusk/tests/common/state.rs
index 99ba8679e7..e080352128 100644
--- a/rusk/tests/common/state.rs
+++ b/rusk/tests/common/state.rs
@@ -77,6 +77,7 @@ pub fn generator_procedure(
         round,
         block_gas_limit,
         generator_pubkey,
+        missed_generators: vec![],
     };
 
     let (transfer_txs, discarded, execute_output) = rusk