diff --git a/conformance/results/mypy/generics_paramspec_semantics.toml b/conformance/results/mypy/generics_paramspec_semantics.toml
index 7dc429c7..9a607499 100644
--- a/conformance/results/mypy/generics_paramspec_semantics.toml
+++ b/conformance/results/mypy/generics_paramspec_semantics.toml
@@ -1,4 +1,4 @@
-conformant = "Pass"
+conformant = "Partial"
 output = """
 generics_paramspec_semantics.py:26: error: Unexpected keyword argument "a"  [call-arg]
 generics_paramspec_semantics.py:26: error: Unexpected keyword argument "b"  [call-arg]
@@ -11,7 +11,23 @@ generics_paramspec_semantics.py:127: error: Argument 1 to "expects_int_first" ha
 generics_paramspec_semantics.py:127: note: This is likely because "one" has named arguments: "x". Consider marking them positional-only
 generics_paramspec_semantics.py:132: error: Argument 1 to "expects_int_first" has incompatible type "def two(*, x: int) -> int"; expected "def (int, /, *, x: int) -> int"  [arg-type]
 generics_paramspec_semantics.py:137: error: Argument 1 to "expects_int_first" has incompatible type "def three(**kwargs: int) -> int"; expected "def (int, /, **kwargs: int) -> int"  [arg-type]
+generics_paramspec_semantics.py:151: error: Incompatible types in assignment (expression has type "ContravariantParamSpec[[int]]", variable has type "ContravariantParamSpec[[object]]")  [assignment]
+generics_paramspec_semantics.py:155: error: Missing return statement  [empty-body]
+generics_paramspec_semantics.py:158: error: Incompatible types in assignment (expression has type "CovariantParamSpec[[int]]", variable has type "CovariantParamSpec[[object]]")  [assignment]
+generics_paramspec_semantics.py:161: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]
+generics_paramspec_semantics.py:164: error: Missing return statement  [empty-body]
+generics_paramspec_semantics.py:168: error: Incompatible types in assignment (expression has type "ContravariantParamSpecOld[[int]]", variable has type "ContravariantParamSpecOld[[object]]")  [assignment]
+generics_paramspec_semantics.py:170: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]
+generics_paramspec_semantics.py:176: error: Incompatible types in assignment (expression has type "ContravariantParamSpecOld[[int]]", variable has type "ContravariantParamSpecOld[[object]]")  [assignment]
 """
-conformance_automated = "Pass"
+conformance_automated = "Fail"
 errors_diff = """
+Line 159: Expected 1 errors
+Line 173: Expected 1 errors
+Line 177: Expected 1 errors
+Line 155: Unexpected errors ['generics_paramspec_semantics.py:155: error: Missing return statement  [empty-body]']
+Line 158: Unexpected errors ['generics_paramspec_semantics.py:158: error: Incompatible types in assignment (expression has type "CovariantParamSpec[[int]]", variable has type "CovariantParamSpec[[object]]")  [assignment]']
+Line 161: Unexpected errors ['generics_paramspec_semantics.py:161: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]']
+Line 170: Unexpected errors ['generics_paramspec_semantics.py:170: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]']
+Line 176: Unexpected errors ['generics_paramspec_semantics.py:176: error: Incompatible types in assignment (expression has type "ContravariantParamSpecOld[[int]]", variable has type "ContravariantParamSpecOld[[object]]")  [assignment]']
 """
diff --git a/conformance/results/pyrefly/generics_paramspec_semantics.toml b/conformance/results/pyrefly/generics_paramspec_semantics.toml
index a62bb475..69ae3ffe 100644
--- a/conformance/results/pyrefly/generics_paramspec_semantics.toml
+++ b/conformance/results/pyrefly/generics_paramspec_semantics.toml
@@ -1,6 +1,17 @@
-conformant = "Pass"
-conformance_automated = "Pass"
+conformant = "Partial"
+conformance_automated = "Fail"
 errors_diff = """
+Line 151: Expected 1 errors
+Line 159: Expected 1 errors
+Line 164: Expected 1 errors
+Line 168: Expected 1 errors
+Line 173: Expected 1 errors
+Line 177: Expected 1 errors
+Line 150: Unexpected errors ['`ContravariantParamSpec[[object]]` is not assignable to `ContravariantParamSpec[[int]]` [bad-assignment]']
+Line 161: Unexpected errors ['Unexpected keyword argument `contravariant` to ParamSpec [invalid-param-spec]']
+Line 167: Unexpected errors ['`ContravariantParamSpecOld[[object]]` is not assignable to `ContravariantParamSpecOld[[int]]` [bad-assignment]']
+Line 170: Unexpected errors ['Unexpected keyword argument `covariant` to ParamSpec [invalid-param-spec]']
+Line 176: Unexpected errors ['`ContravariantParamSpecOld[[int]]` is not assignable to `ContravariantParamSpecOld[[object]]` [bad-assignment]']
 """
 output = """
 ERROR generics_paramspec_semantics.py:26:4-5: Expected argument `a` to be positional [unexpected-keyword]
@@ -14,4 +25,9 @@ ERROR generics_paramspec_semantics.py:120:4-5: Argument `Literal[1]` is not assi
 ERROR generics_paramspec_semantics.py:127:1-19: Argument `(x: str) -> int` is not assignable to parameter `x` with type `(int, ParamSpec(@_)) -> int` in function `expects_int_first` [bad-argument-type]
 ERROR generics_paramspec_semantics.py:132:1-19: Argument `(*, x: int) -> int` is not assignable to parameter `x` with type `(int, ParamSpec(@_)) -> int` in function `expects_int_first` [bad-argument-type]
 ERROR generics_paramspec_semantics.py:137:1-19: Argument `(**kwargs: int) -> int` is not assignable to parameter `x` with type `(int, ParamSpec(@_)) -> int` in function `expects_int_first` [bad-argument-type]
+ERROR generics_paramspec_semantics.py:150:39-45: `ContravariantParamSpec[[object]]` is not assignable to `ContravariantParamSpec[[int]]` [bad-assignment]
+ERROR generics_paramspec_semantics.py:161:24-42: Unexpected keyword argument `contravariant` to ParamSpec [invalid-param-spec]
+ERROR generics_paramspec_semantics.py:167:46-56: `ContravariantParamSpecOld[[object]]` is not assignable to `ContravariantParamSpecOld[[int]]` [bad-assignment]
+ERROR generics_paramspec_semantics.py:170:26-40: Unexpected keyword argument `covariant` to ParamSpec [invalid-param-spec]
+ERROR generics_paramspec_semantics.py:176:50-61: `ContravariantParamSpecOld[[int]]` is not assignable to `ContravariantParamSpecOld[[object]]` [bad-assignment]
 """
diff --git a/conformance/results/pyright/generics_paramspec_semantics.toml b/conformance/results/pyright/generics_paramspec_semantics.toml
index e24a0a9c..370ff5ac 100644
--- a/conformance/results/pyright/generics_paramspec_semantics.toml
+++ b/conformance/results/pyright/generics_paramspec_semantics.toml
@@ -1,4 +1,4 @@
-conformant = "Pass"
+conformant = "Partial"
 notes = """
 Constraint solver doesn't find common type for two signatures captured by a single ParamSpec (allowed).
 """
@@ -30,7 +30,33 @@ generics_paramspec_semantics.py:132:2 - error: Argument of type "(*, x: int) ->
 generics_paramspec_semantics.py:137:2 - error: Argument of type "(**kwargs: int) -> int" cannot be assigned to parameter "x" of type "(int, **P@expects_int_first) -> int" in function "expects_int_first"
   Type "(**kwargs: int) -> int" is not assignable to type "(int, **P@expects_int_first) -> int"
     Function accepts too many positional parameters; expected 0 but received 1 (reportArgumentType)
+generics_paramspec_semantics.py:150:39 - error: Type "ContravariantParamSpec[(object)]" is not assignable to declared type "ContravariantParamSpec[(int)]"
+  "ContravariantParamSpec[(object)]" is not assignable to "ContravariantParamSpec[(int)]"
+    Type parameter "InP@ContravariantParamSpec" is invariant, but "(object)" is not the same as "(int)" (reportAssignmentType)
+generics_paramspec_semantics.py:158:39 - error: Type "CovariantParamSpec[(int)]" is not assignable to declared type "CovariantParamSpec[(object)]"
+  "CovariantParamSpec[(int)]" is not assignable to "CovariantParamSpec[(object)]"
+    Type parameter "OutP@CovariantParamSpec" is invariant, but "(int)" is not the same as "(object)" (reportAssignmentType)
+generics_paramspec_semantics.py:161:24 - error: "contravariant" is unknown parameter to ParamSpec (reportGeneralTypeIssues)
+generics_paramspec_semantics.py:167:46 - error: Type "ContravariantParamSpecOld[(object)]" is not assignable to declared type "ContravariantParamSpecOld[(int)]"
+  "ContravariantParamSpecOld[(object)]" is not assignable to "ContravariantParamSpecOld[(int)]"
+    Type parameter "InP@ContravariantParamSpecOld" is invariant, but "(object)" is not the same as "(int)" (reportAssignmentType)
+generics_paramspec_semantics.py:170:26 - error: "covariant" is unknown parameter to ParamSpec (reportGeneralTypeIssues)
+generics_paramspec_semantics.py:176:50 - error: Type "ContravariantParamSpecOld[(int)]" is not assignable to declared type "ContravariantParamSpecOld[(object)]"
+  "ContravariantParamSpecOld[(int)]" is not assignable to "ContravariantParamSpecOld[(object)]"
+    Type parameter "InP@ContravariantParamSpecOld" is invariant, but "(int)" is not the same as "(object)" (reportAssignmentType)
 """
-conformance_automated = "Pass"
+conformance_automated = "Fail"
 errors_diff = """
+Line 151: Expected 1 errors
+Line 159: Expected 1 errors
+Line 164: Expected 1 errors
+Line 168: Expected 1 errors
+Line 173: Expected 1 errors
+Line 177: Expected 1 errors
+Line 150: Unexpected errors ['generics_paramspec_semantics.py:150:39 - error: Type "ContravariantParamSpec[(object)]" is not assignable to declared type "ContravariantParamSpec[(int)]"']
+Line 158: Unexpected errors ['generics_paramspec_semantics.py:158:39 - error: Type "CovariantParamSpec[(int)]" is not assignable to declared type "CovariantParamSpec[(object)]"']
+Line 161: Unexpected errors ['generics_paramspec_semantics.py:161:24 - error: "contravariant" is unknown parameter to ParamSpec (reportGeneralTypeIssues)']
+Line 167: Unexpected errors ['generics_paramspec_semantics.py:167:46 - error: Type "ContravariantParamSpecOld[(object)]" is not assignable to declared type "ContravariantParamSpecOld[(int)]"']
+Line 170: Unexpected errors ['generics_paramspec_semantics.py:170:26 - error: "covariant" is unknown parameter to ParamSpec (reportGeneralTypeIssues)']
+Line 176: Unexpected errors ['generics_paramspec_semantics.py:176:50 - error: Type "ContravariantParamSpecOld[(int)]" is not assignable to declared type "ContravariantParamSpecOld[(object)]"']
 """
diff --git a/conformance/results/results.html b/conformance/results/results.html
index 058d7e55..9524d2df 100644
--- a/conformance/results/results.html
+++ b/conformance/results/results.html
@@ -293,10 +293,10 @@ <h3>Python Type System Conformance Test Results</h3>
 <th class="column col2 partially-conformant"><div class="hover-text">Partial<span class="tooltip-text" id="bottom"><p>Does not reject usage of args/kwargs for out-of-scope ParamSpec</p></span></div></th>
 </tr>
 <tr><th class="column col1">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;generics_paramspec_semantics</th>
-<th class="column col2 conformant">Pass</th>
-<th class="column col2 conformant"><div class="hover-text">Pass*<span class="tooltip-text" id="bottom"><p>Constraint solver doesn't find common type for two signatures captured by a single ParamSpec (allowed).</p></span></div></th>
-<th class="column col2 conformant">Pass</th>
-<th class="column col2 conformant">Pass</th>
+<th class="column col2 partially-conformant">Partial</th>
+<th class="column col2 partially-conformant"><div class="hover-text">Partial<span class="tooltip-text" id="bottom"><p>Constraint solver doesn't find common type for two signatures captured by a single ParamSpec (allowed).</p></span></div></th>
+<th class="column col2 not-conformant">Unknown</th>
+<th class="column col2 partially-conformant">Partial</th>
 </tr>
 <tr><th class="column col1">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;generics_paramspec_specialization</th>
 <th class="column col2 conformant">Pass</th>
diff --git a/conformance/results/zuban/generics_paramspec_semantics.toml b/conformance/results/zuban/generics_paramspec_semantics.toml
index f6fe67e4..3735fbd0 100644
--- a/conformance/results/zuban/generics_paramspec_semantics.toml
+++ b/conformance/results/zuban/generics_paramspec_semantics.toml
@@ -1,5 +1,15 @@
-conformance_automated = "Pass"
+conformance_automated = "Fail"
 errors_diff = """
+Line 151: Expected 1 errors
+Line 159: Expected 1 errors
+Line 168: Expected 1 errors
+Line 173: Expected 1 errors
+Line 177: Expected 1 errors
+Line 155: Unexpected errors ['generics_paramspec_semantics.py:155: error: Missing return statement  [empty-body]']
+Line 158: Unexpected errors ['generics_paramspec_semantics.py:158: error: Incompatible types in assignment (expression has type "CovariantParamSpec[[int]]", variable has type "CovariantParamSpec[[object]]")  [assignment]']
+Line 161: Unexpected errors ['generics_paramspec_semantics.py:161: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]']
+Line 170: Unexpected errors ['generics_paramspec_semantics.py:170: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]']
+Line 176: Unexpected errors ['generics_paramspec_semantics.py:176: error: Incompatible types in assignment (expression has type "ContravariantParamSpecOld[[int]]", variable has type "ContravariantParamSpecOld[[object]]")  [assignment]']
 """
 output = """
 generics_paramspec_semantics.py:26: error: Unexpected keyword argument "a"  [call-arg]
@@ -12,4 +22,10 @@ generics_paramspec_semantics.py:120: error: Argument 1 has incompatible type "in
 generics_paramspec_semantics.py:127: error: Argument 1 to "expects_int_first" has incompatible type "Callable[[str], int]"; expected "Callable[[int], int]"  [arg-type]
 generics_paramspec_semantics.py:132: error: Argument 1 to "expects_int_first" has incompatible type "Callable[[NamedArg(int, 'x')], int]"; expected "Callable[[int, Never], int]"  [arg-type]
 generics_paramspec_semantics.py:137: error: Argument 1 to "expects_int_first" has incompatible type "Callable[[KwArg(int)], int]"; expected "Callable[[int, Never], int]"  [arg-type]
+generics_paramspec_semantics.py:155: error: Missing return statement  [empty-body]
+generics_paramspec_semantics.py:158: error: Incompatible types in assignment (expression has type "CovariantParamSpec[[int]]", variable has type "CovariantParamSpec[[object]]")  [assignment]
+generics_paramspec_semantics.py:161: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]
+generics_paramspec_semantics.py:164: error: Missing return statement  [empty-body]
+generics_paramspec_semantics.py:170: error: The variance and bound arguments to ParamSpec do not have defined semantics yet  [misc]
+generics_paramspec_semantics.py:176: error: Incompatible types in assignment (expression has type "ContravariantParamSpecOld[[int]]", variable has type "ContravariantParamSpecOld[[object]]")  [assignment]
 """
diff --git a/conformance/tests/generics_paramspec_semantics.py b/conformance/tests/generics_paramspec_semantics.py
index 836d461d..1d271d57 100644
--- a/conformance/tests/generics_paramspec_semantics.py
+++ b/conformance/tests/generics_paramspec_semantics.py
@@ -142,3 +142,36 @@ def three(**kwargs: int) -> int:
 @expects_int_first  # OK
 def four(*args: int) -> int:
     raise NotImplementedError
+
+class ContravariantParamSpec[**InP]:
+    def f(self, *args: InP.args, **kwargs: InP.kwargs): ...
+
+in_obj = ContravariantParamSpec[object]()
+in_int: ContravariantParamSpec[int] = in_obj  # OK
+in_obj = in_int  # E
+
+
+class CovariantParamSpec[**OutP]:
+    def f(self) -> Callable[OutP, None]: ...
+
+out_int = CovariantParamSpec[int]()
+out_obj: CovariantParamSpec[object] = out_int  # OK
+out_int = out_obj  # E
+
+InP = ParamSpec("InP", contravariant=True)
+
+class ContravariantParamSpecOld(Generic[InP]):
+    def f(self) -> Callable[InP, None]: ... # E
+
+in_obj_old = ContravariantParamSpecOld[object]()
+in_int_old: ContravariantParamSpecOld[int] = in_obj_old  # OK
+in_obj_old = in_int_old  # E
+
+OutP = ParamSpec("OutP", covariant=True)
+
+class CovariantParamSpecOld(Generic[OutP]):
+    def f(self, *args: OutP.args, **kwargs: OutP.kwargs): ...  # E
+
+out_int_old = ContravariantParamSpecOld[int]()
+out_obj_old: ContravariantParamSpecOld[object] = out_int_old  # OK
+out_int_old = out_obj_old  # E
diff --git a/docs/spec/generics.rst b/docs/spec/generics.rst
index ff1396a2..621fae8d 100644
--- a/docs/spec/generics.rst
+++ b/docs/spec/generics.rst
@@ -2729,9 +2729,8 @@ The algorithm for computing the variance of a type parameter is as follows.
 
 For each type parameter in a generic class:
 
-1. If the type parameter is variadic (``TypeVarTuple``) or a parameter
-specification (``ParamSpec``), it is always considered invariant. No further
-inference is needed.
+1. If the type parameter is variadic (``TypeVarTuple``) it is always
+considered invariant. No further inference is needed.
 
 2. If the type parameter comes from a traditional ``TypeVar`` declaration and
 is not specified as ``infer_variance`` (see below), its variance is specified