diff --git a/highlight.cpp b/highlight.cpp
index c1c24dd89..d03a60873 100644
--- a/highlight.cpp
+++ b/highlight.cpp
@@ -960,7 +960,7 @@ public:
 void highlighter_t::color_node(const parse_node_t &node, highlight_spec_t color)
 {
     // Can only color nodes with valid source ranges
-    if (! node.has_source())
+    if (! node.has_source() || node.source_length == 0)
         return;
 
     // Fill the color array with our color in the corresponding range
@@ -1356,6 +1356,7 @@ const highlighter_t::color_array_t & highlighter_t::highlight()
 
             case parse_token_type_background:
             case parse_token_type_end:
+            case symbol_optional_background:
             {
                 this->color_node(node, highlight_spec_statement_terminator);
             }
diff --git a/parse_execution.cpp b/parse_execution.cpp
index 649caaa8e..8a2e9d271 100644
--- a/parse_execution.cpp
+++ b/parse_execution.cpp
@@ -1371,7 +1371,7 @@ parse_execution_result_t parse_execution_context_t::run_1_job(const parse_node_t
                  (job_control_mode==JOB_CONTROL_ALL) ||
                  ((job_control_mode == JOB_CONTROL_INTERACTIVE) && (get_is_interactive())));
 
-    job_set_flag(j, JOB_FOREGROUND, 1);
+    job_set_flag(j, JOB_FOREGROUND, ! tree.job_should_be_backgrounded(job_node));
 
     job_set_flag(j, JOB_TERMINAL, job_get_flag(j, JOB_CONTROL) \
                  && (!is_subshell && !is_event));
diff --git a/parse_productions.cpp b/parse_productions.cpp
index 3d65e6294..0fd754354 100644
--- a/parse_productions.cpp
+++ b/parse_productions.cpp
@@ -82,7 +82,7 @@ RESOLVE(job_list)
 
 PRODUCTIONS(job) =
 {
-    {symbol_statement, symbol_job_continuation}
+    {symbol_statement, symbol_job_continuation, symbol_optional_background}
 };
 RESOLVE_ONLY(job)
 
@@ -402,7 +402,7 @@ RESOLVE(decorated_statement)
 
 PRODUCTIONS(plain_statement) =
 {
-    {parse_token_type_string, symbol_arguments_or_redirections_list, symbol_optional_background}
+    {parse_token_type_string, symbol_arguments_or_redirections_list}
 };
 RESOLVE_ONLY(plain_statement)
 
diff --git a/parse_tree.cpp b/parse_tree.cpp
index d8aefaff0..4effea20e 100644
--- a/parse_tree.cpp
+++ b/parse_tree.cpp
@@ -1496,6 +1496,19 @@ parse_node_tree_t::parse_node_list_t parse_node_tree_t::specific_statements_for_
     return result;
 }
 
+bool parse_node_tree_t::job_should_be_backgrounded(const parse_node_t &job) const
+{
+    assert(job.type == symbol_job);
+    assert(job.production_idx == 0);
+    bool result = false;
+    const parse_node_t *opt_background = get_child(job, 2, symbol_optional_background);
+    if (opt_background != NULL) {
+        assert(opt_background->production_idx <= 1);
+        result = (opt_background->production_idx == 1);
+    }
+    return result;
+}
+
 const parse_node_t *parse_node_tree_t::next_node_in_node_list(const parse_node_t &node_list, parse_token_type_t entry_type, const parse_node_t **out_list_tail) const
 {
     parse_token_type_t list_type = node_list.type;
diff --git a/parse_tree.h b/parse_tree.h
index f9f27bebb..c0e24a5ca 100644
--- a/parse_tree.h
+++ b/parse_tree.h
@@ -184,6 +184,9 @@ class parse_node_tree_t : public std::vector<parse_node_t>
 
     /* Given a job, return all of its statements. These are 'specific statements' (e.g. symbol_decorated_statement, not symbol_statement) */
     parse_node_list_t specific_statements_for_job(const parse_node_t &job) const;
+    
+    /* Given a job, return whether it should be backgrounded, because it has a & specifier */
+    bool job_should_be_backgrounded(const parse_node_t &job) const;
 };
 
 
@@ -198,9 +201,9 @@ bool parse_tree_from_string(const wcstring &str, parse_tree_flags_t flags, parse
                 job job_list
                 <TOK_END> job_list
 
-# A job is a non-empty list of statements, separated by pipes. (Non-empty is useful for cases like if statements, where we require a command). To represent "non-empty", we require a statement, followed by a possibly empty job_continuation
+# A job is a non-empty list of statements, separated by pipes. (Non-empty is useful for cases like if statements, where we require a command). To represent "non-empty", we require a statement, followed by a possibly empty job_continuation, and then optionally a background specifier '&'
 
-    job = statement job_continuation
+    job = statement job_continuation optional_background
     job_continuation = <empty> |
                        <TOK_PIPE> statement job_continuation
 
@@ -240,7 +243,7 @@ bool parse_tree_from_string(const wcstring &str, parse_tree_flags_t flags, parse
 # A decorated_statement is a command with a list of arguments_or_redirections, possibly with "builtin" or "command" or "exec"
 
     decorated_statement = plain_statement | COMMAND plain_statement | BUILTIN plain_statement | EXEC plain_statement
-    plain_statement = <TOK_STRING> arguments_or_redirections_list optional_background
+    plain_statement = <TOK_STRING> arguments_or_redirections_list
 
     argument_list = <empty> | argument argument_list
 
@@ -255,7 +258,7 @@ bool parse_tree_from_string(const wcstring &str, parse_tree_flags_t flags, parse
 
     end_command = END
  
- # A freestanding_argument_list is equivalent to a normal argument list, except it may contain TOK_END (newlines, and even semicolons, for historical reasons:
+ # A freestanding_argument_list is equivalent to a normal argument list, except it may contain TOK_END (newlines, and even semicolons, for historical reasons
  
      freestanding_argument_list = <empty> |
                                   argument freestanding_argument_list |