diff --git a/.changeset/pretty-bats-end.md b/.changeset/pretty-bats-end.md
new file mode 100644
index 0000000000..8b08c5b00f
--- /dev/null
+++ b/.changeset/pretty-bats-end.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-catalog-backend-module-gitlab': patch
+---
+
+Resolved a bug affecting the retrieval of users from group members. By appending '/all' to the API call, we now include members from all inherited groups, as per Gitlab's API specifications. This change is reflected in the listSaaSUsers function.
diff --git a/plugins/catalog-backend-module-gitlab/src/lib/client.ts b/plugins/catalog-backend-module-gitlab/src/lib/client.ts
index c4cdd444cb..65c3898d06 100644
--- a/plugins/catalog-backend-module-gitlab/src/lib/client.ts
+++ b/plugins/catalog-backend-module-gitlab/src/lib/client.ts
@@ -92,7 +92,7 @@ export class GitLabClient {
     options?: CommonListOptions,
   ): Promise<PagedResponse<GitLabUser>> {
     return this.pagedRequest(
-      `/groups/${encodeURIComponent(groupPath)}/members`,
+      `/groups/${encodeURIComponent(groupPath)}/members/all`,
       {
         ...options,
         show_seat_info: true,
diff --git a/plugins/catalog-backend-module-gitlab/src/providers/GitlabOrgDiscoveryEntityProvider.test.ts b/plugins/catalog-backend-module-gitlab/src/providers/GitlabOrgDiscoveryEntityProvider.test.ts
index ad930ea23d..669abc69b6 100644
--- a/plugins/catalog-backend-module-gitlab/src/providers/GitlabOrgDiscoveryEntityProvider.test.ts
+++ b/plugins/catalog-backend-module-gitlab/src/providers/GitlabOrgDiscoveryEntityProvider.test.ts
@@ -569,7 +569,7 @@ describe('GitlabOrgDiscoveryEntityProvider', () => {
           ),
         ),
       rest.get(
-        `https://gitlab.com/api/v4/groups/group1/members`,
+        `https://gitlab.com/api/v4/groups/group1/members/all`,
         (_req, res, ctx) => {
           const response = [
             {