diff --git a/railties/CHANGELOG.md b/railties/CHANGELOG.md
index 06d69fd023a5e..518fdd2c4bd4e 100644
--- a/railties/CHANGELOG.md
+++ b/railties/CHANGELOG.md
@@ -1,3 +1,7 @@
+*   Use correct install flags with Yarn 2.
+
+    *Markus Doits*
+
 *   Removed manifest.js and application.css in app/assets
     folder when --skip-sprockets option passed as flag to rails.
 
diff --git a/railties/lib/rails/tasks/yarn.rake b/railties/lib/rails/tasks/yarn.rake
index 48a8d8e143d55..975a28d988c85 100644
--- a/railties/lib/rails/tasks/yarn.rake
+++ b/railties/lib/rails/tasks/yarn.rake
@@ -8,7 +8,15 @@ namespace :yarn do
     node_env = ENV.fetch("NODE_ENV") do
       valid_node_envs.include?(Rails.env) ? Rails.env : "production"
     end
-    system({ "NODE_ENV" => node_env }, "#{Rails.root}/bin/yarn install --no-progress --frozen-lockfile")
+
+    yarn_flags =
+      if `#{Rails.root}/bin/yarn --version`.start_with?("1")
+        "--no-progress --frozen-lockfile"
+      else
+        "--immutable"
+      end
+
+    system({ "NODE_ENV" => node_env }, "#{Rails.root}/bin/yarn install #{yarn_flags}")
   end
 end