Same thing happening. Seems to only affect the Outlook app as categories are still accessible if I access the shared mailbox via browser. **edit: I've raised a ticket with Microsoft Support for this. This appears to fall under an issue that their engineers are investigating right now. Highly recommend affected users raise a support ticket. To do this:
- quit (Press (Command+Q), and restart Outlook
- Open an email from within the shared mailbox and try to apply a category
- Open another email from same or different shared mailbox, and do the same
- From the top menu, click "Help" → "Collect Diagnostics" → Ok → copy the Incident ID returned as you'll need than in the next step
- From the top menu, click "Help" → "Contact Support" to open a chat window where you can explain the problem and provide the Incident ID.