diff --git a/.webpack/webpack.coverage.mjs b/.webpack/webpack.coverage.mjs
index 47204a30f8..2a527612bb 100644
--- a/.webpack/webpack.coverage.mjs
+++ b/.webpack/webpack.coverage.mjs
@@ -16,7 +16,6 @@ config.module.rules.push({
     loader: 'babel-loader',
     options: {
       retainLines: true,
-      // eslint-disable-next-line no-undef
       plugins: [
         [
           'babel-plugin-istanbul',
diff --git a/e2e/baseFixtures.js b/e2e/baseFixtures.js
index 681ab4319d..5cfb2678e4 100644
--- a/e2e/baseFixtures.js
+++ b/e2e/baseFixtures.js
@@ -60,14 +60,16 @@ function waitForAnimations(locator) {
   );
 }
 
-/**
- * This is part of our codecoverage shim.
- * @see {@link https://github.com/mxschmitt/playwright-test-coverage Github Example Project}
- * @constant {string}
- */
-const istanbulCLIOutput = path.join(process.cwd(), '.nyc_output');
+const istanbulCLIOutput = fileURLToPath(new URL('.nyc_output', import.meta.url));
 
 const extendedTest = test.extend({
+  /**
+   * Path to output raw coverage files. Can be overridden in Playwright config file.
+   * @see {@link https://github.com/mxschmitt/playwright-test-coverage Github Example Project}
+   * @constant {string}
+   */
+
+  coveragePath: [istanbulCLIOutput, { option: true }],
   /**
    * This allows the test to manipulate the browser clock. This is useful for Visual and Snapshot tests which need
    * the Time Indicator Clock to be in a specific state.
@@ -148,17 +150,17 @@ const extendedTest = test.extend({
    * Extends the base context class to add codecoverage shim.
    * @see {@link https://github.com/mxschmitt/playwright-test-coverage Github Project}
    */
-  context: async ({ context }, use) => {
+  context: async ({ context, coveragePath }, use) => {
     await context.addInitScript(() =>
       window.addEventListener('beforeunload', () =>
         window.collectIstanbulCoverage(JSON.stringify(window.__coverage__))
       )
     );
-    await fs.promises.mkdir(istanbulCLIOutput, { recursive: true });
+    await fs.promises.mkdir(coveragePath, { recursive: true });
     await context.exposeFunction('collectIstanbulCoverage', (coverageJSON) => {
       if (coverageJSON) {
         fs.writeFileSync(
-          path.join(istanbulCLIOutput, `playwright_coverage_${uuid()}.json`),
+          path.join(coveragePath, `playwright_coverage_${uuid()}.json`),
           coverageJSON
         );
       }
@@ -166,9 +168,9 @@ const extendedTest = test.extend({
 
     await use(context);
     for (const page of context.pages()) {
-      await page.evaluate(() =>
-        window.collectIstanbulCoverage(JSON.stringify(window.__coverage__))
-      );
+      await page.evaluate(() => {
+        window.collectIstanbulCoverage(JSON.stringify(window.__coverage__));
+      });
     }
   },
   /**
diff --git a/e2e/playwright-ci.config.js b/e2e/playwright-ci.config.js
index ee44b40641..affc39313b 100644
--- a/e2e/playwright-ci.config.js
+++ b/e2e/playwright-ci.config.js
@@ -3,6 +3,7 @@
 
 // eslint-disable-next-line no-unused-vars
 import { devices } from '@playwright/test';
+import { fileURLToPath } from 'url';
 const MAX_FAILURES = 5;
 const NUM_WORKERS = 2;
 
@@ -15,7 +16,7 @@ const config = {
   timeout: 60 * 1000,
   webServer: {
     command: 'npm run start:coverage',
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 200 * 1000,
     reuseExistingServer: true //This was originally disabled to prevent differences in local debugging vs. CI. However, it significantly speeds up local debugging.
@@ -28,7 +29,9 @@ const config = {
     ignoreHTTPSErrors: true,
     screenshot: 'only-on-failure',
     trace: 'on-first-retry',
-    video: 'off'
+    video: 'off',
+    // @ts-ignore - custom configuration option for nyc codecoverage output path
+    coveragePath: fileURLToPath(new URL('../.nyc_output', import.meta.url))
   },
   projects: [
     {
diff --git a/e2e/playwright-local.config.js b/e2e/playwright-local.config.js
index 454dc97927..5a4b72e791 100644
--- a/e2e/playwright-local.config.js
+++ b/e2e/playwright-local.config.js
@@ -1,6 +1,6 @@
 // playwright.config.js
 // @ts-check
-
+import { fileURLToPath } from 'url';
 /** @type {import('@playwright/test').PlaywrightTestConfig} */
 const config = {
   retries: 0,
@@ -10,7 +10,7 @@ const config = {
   timeout: 30 * 1000,
   webServer: {
     command: 'npm run start:coverage',
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 120 * 1000,
     reuseExistingServer: true
diff --git a/e2e/playwright-mobile.config.js b/e2e/playwright-mobile.config.js
index 52b11aa324..036e858578 100644
--- a/e2e/playwright-mobile.config.js
+++ b/e2e/playwright-mobile.config.js
@@ -14,7 +14,7 @@ const config = {
   timeout: 30 * 1000,
   webServer: {
     command: 'npm run start:coverage',
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 200 * 1000,
     reuseExistingServer: true //This was originally disabled to prevent differences in local debugging vs. CI. However, it significantly speeds up local debugging.
@@ -28,7 +28,9 @@ const config = {
     ignoreHTTPSErrors: true,
     screenshot: 'only-on-failure',
     trace: 'on-first-retry',
-    video: 'off'
+    video: 'off',
+    // @ts-ignore - custom configuration option for nyc codecoverage output path
+    coveragePath: fileURLToPath(new URL('../.nyc_output', import.meta.url))
   },
   projects: [
     {
diff --git a/e2e/playwright-performance-dev.config.js b/e2e/playwright-performance-dev.config.js
index 0ad3a8835f..44c97da09e 100644
--- a/e2e/playwright-performance-dev.config.js
+++ b/e2e/playwright-performance-dev.config.js
@@ -1,6 +1,6 @@
 // playwright.config.js
 // @ts-check
-
+import { fileURLToPath } from 'url';
 /** @type {import('@playwright/test').PlaywrightTestConfig} */
 const config = {
   retries: 1, //Only for debugging purposes for trace: 'on-first-retry'
@@ -10,7 +10,7 @@ const config = {
   workers: 1, //Only run in serial with 1 worker
   webServer: {
     command: 'npm run start', //need development mode for performance.marks and others
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 200 * 1000,
     reuseExistingServer: false
diff --git a/e2e/playwright-performance-prod.config.js b/e2e/playwright-performance-prod.config.js
index 791c8f1d0d..2f2944de2d 100644
--- a/e2e/playwright-performance-prod.config.js
+++ b/e2e/playwright-performance-prod.config.js
@@ -1,6 +1,6 @@
 // playwright.config.js
 // @ts-check
-
+import { fileURLToPath } from 'url';
 /** @type {import('@playwright/test').PlaywrightTestConfig} */
 const config = {
   retries: 0, //Only for debugging purposes for trace: 'on-first-retry'
@@ -10,7 +10,7 @@ const config = {
   workers: 1, //Only run in serial with 1 worker
   webServer: {
     command: 'npm run start:prod', //Production mode
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 200 * 1000,
     reuseExistingServer: false //Must be run with this option to prevent dev mode
diff --git a/e2e/playwright-visual-a11y.config.js b/e2e/playwright-visual-a11y.config.js
index e1de0cb879..0d95f9e397 100644
--- a/e2e/playwright-visual-a11y.config.js
+++ b/e2e/playwright-visual-a11y.config.js
@@ -1,6 +1,6 @@
 // playwright.config.js
 // @ts-check
-
+import { fileURLToPath } from 'url';
 /** @type {import('@playwright/test').PlaywrightTestConfig<{ theme: string }>} */
 const config = {
   retries: 0, // Visual tests should never retry due to snapshot comparison errors. Leaving as a shim
@@ -10,7 +10,7 @@ const config = {
   workers: 1, //Lower stress on Circle CI Agent for Visual tests https://github.com/percy/cli/discussions/1067
   webServer: {
     command: 'npm run start:coverage',
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 200 * 1000,
     reuseExistingServer: !process.env.CI
diff --git a/e2e/playwright-watch.config.js b/e2e/playwright-watch.config.js
index 3d4996ce00..5d578f25f0 100644
--- a/e2e/playwright-watch.config.js
+++ b/e2e/playwright-watch.config.js
@@ -1,6 +1,5 @@
 // playwright.config.js
 // @ts-check
-
 import { devices } from '@playwright/test';
 import { fileURLToPath } from 'url';
 
@@ -11,7 +10,7 @@ const config = {
   timeout: 60 * 1000,
   webServer: {
     command: 'npm run start', //Start in dev mode for hot reloading
-    cwd: '../', // Provide cwd for the root of the project
+    cwd: fileURLToPath(new URL('../', import.meta.url)), // Provide cwd for the root of the project
     url: 'http://localhost:8080/#',
     timeout: 200 * 1000,
     reuseExistingServer: true //This was originally disabled to prevent differences in local debugging vs. CI. However, it significantly speeds up local debugging.