I created a simple "label policy" in M365 compliance with 4 labels, "Internal Use" and "Confidential" and the others. I set the default sensitivity label for new documents as "Internal Use" and default label for a new email is "confidential". However, whenever I create a new Outlook message, the default label is set to "Internal Use" instead of the one should be, "Confidential". The label works fine in Excel and Word. Then I changed around for testing purpose and found out the default label for email is always the same as whatever the setup for document even I specified them differently as the screenshot below.
I also created a new policy and it's the same result.
Please advise if I have overlooked anything here. Thanks.
Calvin

