Dropped packets are recovered in a link layer of a Data Center Ethernet (DCE) network. Data packets for transmission are stored in a replay buffer. Each data packet includes a header having a field including data indicating that the data packet is formatted for reliable recovery at the link layer. The data packets are transmitted to a receiver across a link layer in the DCE network. The receiver determines whether a data packet has been dropped. If a data packet has not been dropped, an acknowledgement signal is sent to the transmitter in another data packet across the link layer, indicating that the data packet has been received. If a data packet has been dropped, a non-acknowledgement signal is sent to the transmitter in the other data packet across the link layer, indicating that the data packet has been dropped. In response to receipt of the non-acknowledgement signal or no receipt of an acknowledgement signal after the timeout period, the dropped data packet is retrieved from the replay buffer and is resent to the receiver across the link layer.