diff --git a/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.examples.ts b/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.examples.ts
index ad032e9017..534177abf6 100644
--- a/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.examples.ts
+++ b/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.examples.ts
@@ -87,6 +87,25 @@ export const examples: TemplateExample[] = [
       ],
     }),
   },
+  {
+    description: 'Initializes a GitLab repository with fast forward merge and always squash settings.',
+    example: yaml.stringify({
+      steps: [
+        {
+          id: 'publish',
+          action: 'publish:gitlab',
+          name: 'Publish to GitLab',
+          input: {
+            repoUrl: 'gitlab.com?repo=project_name&owner=group_name',
+            settings: {
+              merge_method: 'ff',
+              squash_option: 'always',
+            },
+          },
+        },
+      ],
+    }),
+  },
   {
     description: 'Initializes a GitLab repository with branch settings.',
     example: yaml.stringify({