diff --git a/.circleci/config.yml b/.circleci/config.yml
index 36eb5f442..40a7cdd8a 100644
--- a/.circleci/config.yml
+++ b/.circleci/config.yml
@@ -1082,7 +1082,7 @@ jobs:
       - run:
           name: Build development contracts
           command: |
-            docker run --volumes-from with_code cosmwasm/workspace-optimizer:0.12.1
+            docker run --volumes-from with_code cosmwasm/workspace-optimizer:0.12.3
             docker cp with_code:/code/artifacts ./artifacts
       - run:
           name: Show data
diff --git a/README.md b/README.md
index 5a8084915..48e974bae 100644
--- a/README.md
+++ b/README.md
@@ -158,7 +158,7 @@ To compile all the contracts, run the following in the repo root:
 docker run --rm -v "$(pwd)":/code \
   --mount type=volume,source="$(basename "$(pwd)")_cache",target=/code/target \
   --mount type=volume,source=registry_cache,target=/usr/local/cargo/registry \
-  cosmwasm/workspace-optimizer:0.12.1
+  cosmwasm/workspace-optimizer:0.12.3
 ```
 
 This will compile all packages in the `contracts` directory and output the