diff --git a/util/webhook/webhook.go b/util/webhook/webhook.go
index b5b14c3e7d646..c47323f2cdbbb 100644
--- a/util/webhook/webhook.go
+++ b/util/webhook/webhook.go
@@ -441,7 +441,7 @@ func (a *ArgoCDWebhookHandler) Handler(w http.ResponseWriter, r *http.Request) {
 			log.WithField(common.SecurityField, common.SecurityHigh).Infof("GitHub webhook HMAC verification failed")
 		}
 	case r.Header.Get("X-Gitlab-Event") != "":
-		payload, err = a.gitlab.Parse(r, gitlab.PushEvents, gitlab.TagEvents)
+		payload, err = a.gitlab.Parse(r, gitlab.PushEvents, gitlab.TagEvents, gitlab.SystemHookEvents)
 		if errors.Is(err, gitlab.ErrGitLabTokenVerificationFailed) {
 			log.WithField(common.SecurityField, common.SecurityHigh).Infof("GitLab webhook token verification failed")
 		}
diff --git a/util/webhook/webhook_test.go b/util/webhook/webhook_test.go
index efd68fe25b9b9..899c3ecb73203 100644
--- a/util/webhook/webhook_test.go
+++ b/util/webhook/webhook_test.go
@@ -336,6 +336,22 @@ func TestGitLabPushEvent(t *testing.T) {
 	hook.Reset()
 }
 
+func TestGitLabSystemEvent(t *testing.T) {
+	hook := test.NewGlobal()
+	h := NewMockHandler(nil, []string{})
+	req := httptest.NewRequest(http.MethodPost, "/api/webhook", nil)
+	req.Header.Set("X-Gitlab-Event", "System Hook")
+	eventJSON, err := os.ReadFile("testdata/gitlab-event.json")
+	assert.NoError(t, err)
+	req.Body = io.NopCloser(bytes.NewReader(eventJSON))
+	w := httptest.NewRecorder()
+	h.Handler(w, req)
+	assert.Equal(t, w.Code, http.StatusOK)
+	expectedLogResult := "Received push event repo: https://gitlab/group/name, revision: master, touchedHead: true"
+	assert.Equal(t, expectedLogResult, hook.LastEntry().Message)
+	hook.Reset()
+}
+
 func TestInvalidMethod(t *testing.T) {
 	hook := test.NewGlobal()
 	h := NewMockHandler(nil, []string{})