Add a sensitivity label to SharePoint document library

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How to configure a default sensitivity label for a SharePoint document library

For an existing document library:

In SharePoint, navigate to the document library > Settings > Library settings.
From the Library settings flyout pane, select Default sensitivity labels, and then select a label from the drop-down box. For example:

Note: Although you see the setting mentions support for PDF files, this file type isn't currently supported for this scenario.

If you're creating a new document library, you can configure the same Default sensitivity labels setting from the Create document library flyout pane.

Important: Using this feature requires one of the following licenses: