diff --git a/doc/terminator.1 b/doc/terminator.1
index 67f72e19..32e76d74 100644
--- a/doc/terminator.1
+++ b/doc/terminator.1
@@ -52,6 +52,9 @@ Runs the specified command instead of your default shell or profile specified co
 .TP 
 .B \-x, \-\-execute=COMMAND [ARGS]
 Runs \fBthe rest of the command line\fR instead of your default shell or profile specified command.
+.TP
+.B \-\-working\-directory=DIR
+Set the terminal's working directory
 .SH "KEYBINDINGS"
 The following keybindings can be used to control Terminator:
 .TP 
diff --git a/terminator b/terminator
index 2e9d0254..c6fe9542 100755
--- a/terminator
+++ b/terminator
@@ -101,6 +101,8 @@ if __name__ == '__main__':
   parser.add_option ("-x", "--execute", dest="execute", action="callback",
       callback=execute_cb, help="Execute the remainder of the command line \
 inside the terminal")
+  parser.add_option ("--working-directory", metavar="DIR",
+      dest="working_directory", help="Set the terminal's working directory")
   for item in ['--sm-client-id', '--sm-config-prefix', '--screen']:
     parser.add_option (item, dest="dummy", action="store", help=SUPPRESS_HELP)
 
@@ -130,6 +132,13 @@ does not make sense")
     "Make sure DISPLAY is properly set"))
     sys.exit(1)
 
+  if options.working_directory:
+      if os.path.exists (os.path.expanduser (options.working_directory)):
+        os.chdir (os.path.expanduser (options.working_directory))
+      else:
+        err (_("The working directory you specified does not exist."))
+        sys.exit (1)
+
   try:
     open (os.path.expanduser ('~/.config/terminator/config'))
   except IOError: