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Microsoft Entra (Identity)

Entra ID Workload Identities

By Emil Björk · Microsoft ecosystem consultant, Gothenburg

Workload Identities is Entra ID's product for managing non-human identities — apps, services, scripts — and the risks they create.

2 min read

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Microsoft Entra Workload ID (sometimes called Workload Identities) is the product line for governing non-human identities in Entra ID: service principals, managed identities, applications, and the credentials they use. As organisations have migrated to the cloud, the count of non-human identities has exploded — and they're now a major attack surface.

Related: service principal best practices for how to build them, secret rotation for keeping them alive, over-consented permissions cleanup for right-sizing them, and — for the retired cloud-infrastructure product — Entra Permissions Management.

What counts as a workload identity

  • Service principals — instances of applications in your tenant (every enterprise app has one).
  • Managed identities — Entra-managed identities for Azure resources (Azure Functions, VMs, App Service).
  • Workload identity federation trust relationships — credentials issued by external identity providers (GitHub Actions, AWS, GCP, Kubernetes) that your tenant trusts.
  • Application credentials — client secrets, certificates, federated identity credentials.

Each is a sign-in target that an attacker can use.

Why this matters

Non-human identities tend to:

  • Outnumber human identities by 10–50× in mature tenants.
  • Have static credentials that don't rotate as often as user passwords.
  • Hold broader permissions than they need.
  • Not have MFA (most can't — they're not interactive).
  • Get forgotten when the app or script that created them goes away.

A compromised service principal with overbroad Graph permissions can do enormous damage silently.

What Workload Identities provides

The product adds capabilities specifically for non-human identities:

  • Conditional Access for workload identities — apply CA policies (location restrictions, risk-based blocking) to service principal sign-ins, not just users.
  • Identity Protection for workload identities — detect compromised service principals, anomalous patterns, leaked credentials.
  • Access reviews for workload identities — periodic recertification of which apps still need their permissions.
  • Lifecycle workflows — automated handling of disused service principals.

Practical hygiene

For any Microsoft 365 tenant, basic workload-identity hygiene includes:

  • Inventory enterprise apps regularly in entra.microsoft.com → Enterprise applications.
  • Disable apps not in use — disabled service principals can't sign in.
  • Restrict user consent — limit who can grant Graph permissions to third-party apps.
  • Use certificate-based authentication rather than client secrets where possible — secrets leak; certificates are harder to mishandle.
  • Use managed identities for Azure-hosted workloads — no credentials to manage at all.
  • Use workload identity federation for GitHub Actions, AWS, GCP, Kubernetes — short-lived federated credentials rather than long-lived secrets.

Licensing

Workload Identities premium features require Microsoft Entra Workload ID Premium — a separate licence priced per workload identity (tiered free / standard / premium). The free tier covers basic visibility; premium adds Conditional Access for workload identities, risk detection, and access reviews.

For tenants with significant SaaS or custom-app footprint, Workload ID is increasingly part of the security baseline alongside human-identity protections.

Frequently asked questions

What is a workload identity in Entra ID?
A non-human identity — an application (service principal), a managed identity, or a service principal for a federated external workload — that authenticates to Entra to call APIs. Workload identities outnumber users in many tenants and are the least-governed population.
What does Entra Workload ID Premium add?
Conditional Access for workload identities, Identity Protection risk detection for service principals (leaked credentials, anomalous behaviour), access reviews for service principals in privileged roles, and app health recommendations. It is licensed per workload identity, separately from user licences.
What is workload identity federation?
A way for an external workload — a GitHub Actions pipeline, a Kubernetes pod, another cloud's identity — to exchange its own token for an Entra token without storing an Entra secret. It removes the long-lived credential from CI/CD and cross-cloud scenarios.

Further reading

Microsoft Docs & product blog

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