Teams – You can now use Sensitivity Labels with Microsoft Teams

As you may already know, Office 365 services supports sensitivity labels helping your and your organization classifying and protecting your IP’s (intellectual properties) with low productivity impact on your end-users.

Using sensitivity labels you can ensure your content is either encrypted, marked (or labelled) and classified accordingly to your compliance requirements, either automatically or by letting end-users setting the classification level.

After being integrated over the time with the various Office 365 services (SharePoint Online, Exchange Online), sensitivity labels are now also coming to Microsoft Teams in preview.

To start using sensitivity labels on Teams, you first need to enable the preview support using the below Azure AD PowerShell command.

NOTE you need to use the PREVIEW Azure AD PowerShell module available from the PowerShell Gallery – use the below to install

Install-Module -Name AzureADPreview


NOTE if you are getting an error for Get-AzureADDirectorySetting, try to connect using AzureADPreview\Connect-AzureAD instead of Connect-AzureAD
$setting = (Get-AzureADDirectorySetting | where -Property DisplayName -Value “Group.Unified” -EQ)
If ($setting -eq $null)
    $template = Get-AzureADDirectorySettingTemplate -Id 62375ab9-6b52-47ed-826b-58e47e0e304b
    $setting = $template.CreateDirectorySetting()
    $setting[“EnableMIPLabels”] = “True”
    New-AzureADDirectorySetting -DirectorySetting $setting
    $setting[“EnableMIPLabels”] = “True”
    Set-AzureADDirectorySetting -Id $setting.Id -DirectorySetting $setting


Then you need to connect to your Office 365 Compliance Center ( to create/edit your sensitivity label (available in the Classification section), if required


NOTE Only the site and group settings take effect when you apply a label to a team, group, or site. Other settings, such as encryption and content marking, aren’t applied to all content within the team, group, or site. Similarly, if you create a label and don’t turn on site and group settings, the label will still be available when users create teams, groups, and sites, but it won’t do anything when users apply it.

Once done, you can now define the Teams sensitivity which then will apply the corresponding sensitivity label.

When creating a new Teams, you can choose the Sensitivity


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