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What is labeling in Jira?
Labels in Jira are specific keywords or tags that can be added to the issues for showing whether they have specific characteristics. They also help in classifying issues informally and flexibly than the assignment of version components or numbers.
Labeling in Jira allows its users to categorize issues. As such, it becomes possible to identify which issues belong to which category. Moreover, it also helps in simplifying the overall search process with the help of labels.