diff --git a/cli/exp_mcp.go b/cli/exp_mcp.go
index 35032a43d68fc..63ee0db04b552 100644
--- a/cli/exp_mcp.go
+++ b/cli/exp_mcp.go
@@ -411,7 +411,7 @@ func mcpServerHandler(inv *serpent.Invocation, client *codersdk.Client, instruct
 	} else {
 		cliui.Warnf(inv.Stderr, "CODER_AGENT_TOKEN is not set, task reporting will not be available")
 	}
-	if appStatusSlug != "" {
+	if appStatusSlug == "" {
 		cliui.Warnf(inv.Stderr, "CODER_MCP_APP_STATUS_SLUG is not set, task reporting will not be available.")
 	} else {
 		clientCtx = toolsdk.WithWorkspaceAppStatusSlug(clientCtx, appStatusSlug)