New Blog | SharePoint support for labels configured for user-defined permissions


Rolling out in preview, there's now limited support for labels configured for user-defined permissions. This encryption configuration refers to the setting Let users assign permissions when they apply the label and the checkbox In Word, PowerPoint, and Excel, prompt users to specify permissions is selected:

  • When a document is labeled with user-defined permissions and uploaded to SharePoint or OneDrive, these services can now process the document so that it can be opened and edited in Office for the web, the label name is displayed in the Sensitivity column, and the encrypted file is returned in search results for the label ID.

  • Labels with this configuration are now displayed in Office for the web. However, currently, users can't apply these labels in Office for the web and if these labels are selected, users see a message instructing them to apply the label using a desktop app.

  • The contents currently can't be inspected for search, data loss prevention, or eDiscovery.


Read the full blog post: SharePoint support for labels configured for user-defined permissions - Microsoft Community Hub

1 Reply
@BrittanyCCP - this is a wonderful update, thank you! Is there any intention/plan for bringing user-defined permissions to SharePoint document libraries?
Example: we have a Team where we want all documents that are added to be encrypted with high sensitivity & accessible by the M365 group that manages the Team?