diff --git a/src/pages/OnboardingPurpose/BaseOnboardingPurpose.tsx b/src/pages/OnboardingPurpose/BaseOnboardingPurpose.tsx
index 435e2fbaf273..40858a9131c5 100644
--- a/src/pages/OnboardingPurpose/BaseOnboardingPurpose.tsx
+++ b/src/pages/OnboardingPurpose/BaseOnboardingPurpose.tsx
@@ -27,7 +27,7 @@ import {expensifyLoginsSelector, isCurrentUserValidated} from '@libs/UserUtils';
 import variables from '@styles/variables';
 
 import {completeOnboarding} from '@userActions/Report';
-import {setOnboardingErrorMessage, setOnboardingPurposeSelected} from '@userActions/Welcome';
+import {clearOnboardingMergeAccountBlocked, setOnboardingErrorMessage, setOnboardingPurposeSelected} from '@userActions/Welcome';
 
 import CONST from '@src/CONST';
 import ONYXKEYS from '@src/ONYXKEYS';
@@ -132,6 +132,9 @@ function BaseOnboardingPurpose({shouldUseNativeStyles, shouldEnableMaxHeight, ro
                 // validation, so it still needs to add one; an unvalidated private-domain one already has one and
                 // only needs to validate it.
                 if (choice === CONST.ONBOARDING_CHOICES.JOIN_WORKSPACE) {
+                    // A merge blocked earlier in onboarding leaves isMergingAccountBlocked set, which would make the work
+                    // email step reopen in its blocked state instead of showing the form.
+                    clearOnboardingMergeAccountBlocked();
                     const isCurrentPrimaryPublicDomain = PUBLIC_DOMAINS_SET.has(session?.email?.split('@').at(1)?.toLowerCase() ?? '');
                     if (isValidated && !isCurrentPrimaryPublicDomain) {
                         Navigation.navigate(ROUTES.ONBOARDING_WORKSPACES.getRoute(ROUTES.ONBOARDING_PERSONAL_DETAILS.getRoute()));
diff --git a/tests/ui/OnboardingPurpose.tsx b/tests/ui/OnboardingPurpose.tsx
index 7266f827bd6a..80b19514c7aa 100644
--- a/tests/ui/OnboardingPurpose.tsx
+++ b/tests/ui/OnboardingPurpose.tsx
@@ -32,6 +32,7 @@ import React from 'react';
 import Onyx from 'react-native-onyx';
 
 import createMock from '../utils/createMock';
+import getOnyxValue from '../utils/getOnyxValue';
 import * as TestHelper from '../utils/TestHelper';
 import waitForBatchedUpdatesWithAct from '../utils/waitForBatchedUpdatesWithAct';
 
@@ -201,6 +202,30 @@ describe('OnboardingPurpose Page', () => {
         await waitForBatchedUpdatesWithAct();
     });
 
+    it('should clear a stale merge-blocked flag when a public-domain user selects Join Workspace', async () => {
+        // Given a public-domain user whose earlier work email merge was blocked
+        await TestHelper.signInWithTestUser(1, 'test@gmail.com');
+        await act(async () => {
+            await Onyx.merge(ONYXKEYS.NVP_ONBOARDING, {isMergingAccountBlocked: true});
+        });
+
+        const {unmount} = renderOnboardingPurposePage(SCREENS.ONBOARDING.PURPOSE, {backTo: ''});
+        await waitForBatchedUpdatesWithAct();
+
+        // When they select Join Workspace
+        const user = userEvent.setup();
+        await user.press(screen.getByLabelText(translatePurpose(CONST.ONBOARDING_CHOICES.JOIN_WORKSPACE)));
+        await waitForBatchedUpdatesWithAct();
+
+        // Then the flag is cleared so the work email step shows the form instead of the blocked view
+        expect(navigate).toHaveBeenCalledWith(ROUTES.ONBOARDING_WORK_EMAIL.getRoute());
+        const onboarding = await getOnyxValue(ONYXKEYS.NVP_ONBOARDING);
+        expect(onboarding?.isMergingAccountBlocked).toBe(false);
+
+        unmount();
+        await waitForBatchedUpdatesWithAct();
+    });
+
     it('should navigate to personal details page when user selects EMPLOYER and is from public domain', async () => {
         await TestHelper.signInWithTestUser();