The purpose of this study is to examine the effects of the counselor’s covert narcissism, self-compassion, and self-efficacy on working alliance, and to verify the mediating effect of the counselor's self-efficacy controlled by self-compassion in the relationship between the covert narcissism and working alliance. An online survey was conducted for certified counselors, and the collected data were analyzed using SPSS 26.0 and PROCESS MACRO v4.0. The results of this study are as follows. First, counselors’ covert narcissism had a negative effect on working alliance. Second, counselors’ self-efficacy partially mediated the relationship between covert narcissism and working alliance. Third, counselors’ self-compassion moderated the relationship between covert narcissism and self-efficacy when the level of self-compassion was one standard deviation above the mean. Fourth, the mediating effect of self-efficacy moderated by self-compassion on the effect of counselors’ covert narcissism on the working alliance was significant. Based on these findings, this study discussed the necessity of cultivating counselors’ self-compassion, educational analysis, and peer supervision. Furthermore, it intends to contribute to providing better counseling services by stabilizing counselor factors within the counseling environment and improving the overall counseling environment conditions experienced by counselees.