diff --git a/lib/agent.js b/lib/agent.js
index 439353be9d..85d06cdcc9 100644
--- a/lib/agent.js
+++ b/lib/agent.js
@@ -40,6 +40,7 @@ const {
 } = require('./util/attributes')
 const synthetics = require('./synthetics')
 const Harvester = require('./harvester')
+const { createFeatureUsageMetrics } = require('./util/application-logging')
 
 // Map of valid states to whether or not data collection is valid
 const STATES = {
@@ -405,7 +406,7 @@ Agent.prototype.startStreaming = function startStreaming() {
  */
 Agent.prototype.onConnect = function onConnect(shouldImmediatelyHarvest, callback) {
   this.harvester.update(this.config)
-  generateLoggingSupportMetrics(this)
+  createFeatureUsageMetrics(this)
 
   if (this.config.certificates && this.config.certificates.length > 0) {
     this.metrics.getOrCreateMetric(NAMES.FEATURES.CERTIFICATES).incrementCallCount()
@@ -953,23 +954,4 @@ function generateEventHarvestSupportMetrics(agent, harvestConfig) {
   }
 }
 
-/**
- * Increments the call counts of application logging supportability metrics
- * on every connect cycle
- *
- * @param {object} agent Instantiation of Node.js agent
- */
-function generateLoggingSupportMetrics(agent) {
-  const loggingConfig = agent.config.application_logging
-  const logNames = NAMES.LOGGING
-
-  const configKeys = ['metrics', 'forwarding', 'local_decorating']
-  configKeys.forEach((configValue) => {
-    const configFlag =
-      loggingConfig.enabled && loggingConfig[`${configValue}`].enabled ? 'enabled' : 'disabled'
-    const metricName = logNames[`${configValue.toUpperCase()}`]
-    agent.metrics.getOrCreateMetric(`${metricName}${configFlag}`).incrementCallCount()
-  })
-}
-
 module.exports = Agent
diff --git a/lib/aggregators/log-aggregator.js b/lib/aggregators/log-aggregator.js
index 2b7016e281..4da319578c 100644
--- a/lib/aggregators/log-aggregator.js
+++ b/lib/aggregators/log-aggregator.js
@@ -6,6 +6,7 @@
 'use strict'
 
 const logger = require('../logger').child({ component: 'logs_aggregator' })
+const { isLogLabelingEnabled } = require('../../lib/util/application-logging')
 const EventAggregator = require('./event-aggregator')
 
 const NAMES = require('../metrics/names')
@@ -56,7 +57,12 @@ class LogAggregator extends EventAggregator {
       return
     }
 
-    const commonAttrs = this.agent.getServiceLinkingMetadata()
+    let commonAttrs = this.agent.getServiceLinkingMetadata()
+
+    if (isLogLabelingEnabled(this.agent.config)) {
+      commonAttrs = { ...commonAttrs, ...this.agent.config.loggingLabels }
+    }
+
     return [
       {
         common: { attributes: commonAttrs },
diff --git a/lib/collector/facts.js b/lib/collector/facts.js
index fa2290cbf0..bced9d3420 100644
--- a/lib/collector/facts.js
+++ b/lib/collector/facts.js
@@ -8,7 +8,6 @@
 const fetchSystemInfo = require('../system-info')
 const defaultLogger = require('../logger').child({ component: 'facts' })
 const os = require('os')
-const parseLabels = require('../util/label-parser')
 
 module.exports = facts
 
@@ -49,7 +48,7 @@ async function facts(agent, callback, { logger = defaultLogger } = {}) {
     environment: environment,
     settings: agent.config.publicSettings(),
     high_security: agent.config.high_security,
-    labels: parseLabels(agent.config.labels),
+    labels: agent.config.parsedLabels,
     metadata: Object.keys(process.env).reduce((obj, key) => {
       if (key.startsWith('NEW_RELIC_METADATA_')) {
         obj[key] = process.env[key]
diff --git a/lib/config/index.js b/lib/config/index.js
index 7eee824785..78c17b7e29 100644
--- a/lib/config/index.js
+++ b/lib/config/index.js
@@ -24,6 +24,7 @@ const harvestConfigValidator = require('./harvest-config-validator')
 const mergeServerConfig = new MergeServerConfig()
 const { boolean: isTruthular } = require('./formatters')
 const configDefinition = definition()
+const parseLabels = require('../util/label-parser')
 
 /**
  * CONSTANTS -- we gotta lotta 'em
@@ -195,9 +196,38 @@ function Config(config) {
 
   // 9. Set instance attribute filter using updated context
   this.attributeFilter = new AttributeFilter(this)
+
+  // 10. Setup labels for both `collector/facts` and application logging
+  this.parsedLabels = parseLabels(this.labels, logger)
+  this.loggingLabels = this._setApplicationLoggingLabels()
 }
 util.inherits(Config, EventEmitter)
 
+/**
+ * Compares the labels list to the application logging excluded label list and removes any labels that need to be excluded.
+ * Then prefixing each label with "tags."
+ *
+ * assigns labels to `config.loggingLabels`
+ */
+Config.prototype._setApplicationLoggingLabels = function setApplicationLoggingLabels() {
+  if (this.application_logging.forwarding.labels.enabled === false) {
+    return
+  }
+
+  this.application_logging.forwarding.labels.exclude =
+    this.application_logging.forwarding.labels.exclude.map((k) => k.toLowerCase())
+
+  return this.parsedLabels.reduce((filteredLabels, label) => {
+    if (
+      !this.application_logging.forwarding.labels.exclude.includes(label.label_type.toLowerCase())
+    ) {
+      filteredLabels[`tags.${label.label_type}`] = label.label_value
+    }
+
+    return filteredLabels
+  }, {})
+}
+
 /**
  * Because this module and logger depend on each other, the logger needs
  * a way to inject the actual logger instance once it's constructed.
diff --git a/lib/metrics/names.js b/lib/metrics/names.js
index 805a9d3b9b..139da8ab5b 100644
--- a/lib/metrics/names.js
+++ b/lib/metrics/names.js
@@ -337,7 +337,8 @@ const LOGGING = {
   SENT: `${LOGGING_FORWARDING_PREFIX}/Sent`,
   FORWARDING: `${LOGGING_FORWARDING_PREFIX}/${NODEJS.PREFIX}`,
   METRICS: `${SUPPORTABILITY.LOGGING}/Metrics/${NODEJS.PREFIX}`,
-  LOCAL_DECORATING: `${SUPPORTABILITY.LOGGING}/LocalDecorating/${NODEJS.PREFIX}`
+  LOCAL_DECORATING: `${SUPPORTABILITY.LOGGING}/LocalDecorating/${NODEJS.PREFIX}`,
+  LABELS: `${SUPPORTABILITY.LOGGING}/Labels/${NODEJS.PREFIX}`
 }
 
 const KAFKA = {
diff --git a/lib/util/application-logging.js b/lib/util/application-logging.js
index cd68d2ba20..6d1cff9805 100644
--- a/lib/util/application-logging.js
+++ b/lib/util/application-logging.js
@@ -75,6 +75,16 @@ utils.isLogForwardingEnabled = function isLogForwardingEnabled(config, agent) {
   )
 }
 
+/**
+ * Checks if application_logging.forwarding.labels is enabled
+ *
+ * @param {object} config agent config
+ * @returns {boolean} is labeling enabled
+ */
+utils.isLogLabelingEnabled = function isLogLabelingEnabled(config) {
+  return !!config.application_logging.forwarding.labels.enabled
+}
+
 /**
  * Increments both `Logging/lines` and `Logging/lines/<level>` call count
  *
@@ -108,3 +118,51 @@ function getLogLevel(level) {
   }
   return logLevel
 }
+
+/**
+ * Increments the enabled/disabled metrics for the top line application logging features:
+ *  1. Supportability/Logging/Metrics/Nodejs/<enabled|disabled>
+ *  2. Supportability/Logging/Forwarding/Nodejs/<enabled|disabled>
+ *  3. Supportability/Logging/LocalDecorating/Nodejs/<enabled|disabled>
+ *  4. Supportability/Logging/Labels/Nodejs/<enabled|disabled>
+ *
+ *  Run in `agent.onConnect`
+ *
+ * @param {Agent} agent instance
+ */
+utils.createFeatureUsageMetrics = function createFeatureUsageMetrics(agent) {
+  const { config, metrics } = agent
+  const loggingConfig = config.application_logging.enabled
+  metrics
+    .getOrCreateMetric(
+      `${LOGGING.METRICS}${
+        loggingConfig && config.application_logging.metrics.enabled ? 'enabled' : 'disabled'
+      }`
+    )
+    .incrementCallCount()
+  metrics
+    .getOrCreateMetric(
+      `${LOGGING.FORWARDING}${
+        loggingConfig && config.application_logging.forwarding.enabled ? 'enabled' : 'disabled'
+      }`
+    )
+    .incrementCallCount()
+  metrics
+    .getOrCreateMetric(
+      `${LOGGING.LOCAL_DECORATING}${
+        loggingConfig && config.application_logging.local_decorating.enabled
+          ? 'enabled'
+          : 'disabled'
+      }`
+    )
+    .incrementCallCount()
+  metrics
+    .getOrCreateMetric(
+      `${LOGGING.LABELS}${
+        loggingConfig && config.application_logging.forwarding.labels.enabled
+          ? 'enabled'
+          : 'disabled'
+      }`
+    )
+    .incrementCallCount()
+}
diff --git a/lib/util/label-parser.js b/lib/util/label-parser.js
index 3fc17e8123..ca59044ecf 100644
--- a/lib/util/label-parser.js
+++ b/lib/util/label-parser.js
@@ -11,10 +11,11 @@ module.exports.fromMap = fromMap
 
 // this creates a copy of trim that can be used with map
 const trim = Function.prototype.call.bind(String.prototype.trim)
-const logger = require('../logger').child({ component: 'label-parser' })
 const stringify = require('json-stringify-safe')
 
-function parse(labels) {
+// pass in parent logger to avoid circular deps
+function parse(labels, parentLogger) {
+  const logger = parentLogger.child({ component: 'label-parser' })
   let results
 
   if (!labels) {
@@ -25,8 +26,8 @@ function parse(labels) {
     results = fromMap(labels)
   }
 
-  results.warnings.forEach(function logWarnings(messaage) {
-    logger.warn(messaage)
+  results.warnings.forEach(function logWarnings(message) {
+    logger.warn(message)
   })
 
   return results.labels
@@ -106,11 +107,11 @@ function fromMap(map) {
     try {
       warnings.unshift('Partially Invalid Label Setting: ' + stringify(map))
     } catch (err) {
-      logger.debug(err, 'Failed to stringify labels')
+      warnings.unshift('Failed to stringify labels: ' + err.message)
     }
   }
 
-  return { labels: labels, warnings: warnings }
+  return { labels, warnings }
 }
 
 function truncate(str, max) {
diff --git a/test/unit/agent/agent.test.js b/test/unit/agent/agent.test.js
index cd7e46596d..8a43178785 100644
--- a/test/unit/agent/agent.test.js
+++ b/test/unit/agent/agent.test.js
@@ -949,7 +949,7 @@ test('when event_harvest_config update on connect with a valid config', async (t
 })
 
 test('logging supportability on connect', async (t) => {
-  const keys = ['Forwarding', 'Metrics', 'LocalDecorating']
+  const keys = ['Forwarding', 'Metrics', 'LocalDecorating', 'Labels']
 
   t.beforeEach((ctx) => {
     ctx.nr = {}
@@ -967,12 +967,13 @@ test('logging supportability on connect', async (t) => {
     agent.config.application_logging.metrics.enabled = false
     agent.config.application_logging.forwarding.enabled = false
     agent.config.application_logging.local_decorating.enabled = false
+    agent.config.application_logging.forwarding.labels.enabled = false
     agent.onConnect(false, () => {
       for (const key of keys) {
         const disabled = agent.metrics.getMetric(`Supportability/Logging/${key}/Nodejs/disabled`)
         const enabled = agent.metrics.getMetric(`Supportability/Logging/${key}/Nodejs/enabled`)
-        assert.equal(disabled.callCount, 1)
-        assert.equal(enabled, undefined)
+        assert.equal(disabled.callCount, 1, `${key} should be disabled`)
+        assert.equal(enabled, undefined, `${key} should not be enabled`)
       }
       end()
     })
@@ -987,12 +988,13 @@ test('logging supportability on connect', async (t) => {
       agent.config.application_logging.metrics.enabled = true
       agent.config.application_logging.forwarding.enabled = true
       agent.config.application_logging.local_decorating.enabled = true
+      agent.config.application_logging.forwarding.labels.enabled = true
       agent.onConnect(false, () => {
         for (const key of keys) {
           const disabled = agent.metrics.getMetric(`Supportability/Logging/${key}/Nodejs/disabled`)
           const enabled = agent.metrics.getMetric(`Supportability/Logging/${key}/Nodejs/enabled`)
-          assert.equal(disabled.callCount, 1)
-          assert.equal(enabled, undefined)
+          assert.equal(disabled.callCount, 1, `${key} should be disabled`)
+          assert.equal(enabled, undefined, `${key} should not be enabled`)
         }
         end()
       })
@@ -1006,12 +1008,13 @@ test('logging supportability on connect', async (t) => {
     agent.config.application_logging.metrics.enabled = true
     agent.config.application_logging.forwarding.enabled = true
     agent.config.application_logging.local_decorating.enabled = true
+    agent.config.application_logging.forwarding.labels.enabled = true
     agent.onConnect(false, () => {
       for (const key of keys) {
         const disabled = agent.metrics.getMetric(`Supportability/Logging/${key}/Nodejs/disabled`)
         const enabled = agent.metrics.getMetric(`Supportability/Logging/${key}/Nodejs/enabled`)
-        assert.equal(enabled.callCount, 1)
-        assert.equal(disabled, undefined)
+        assert.equal(enabled.callCount, 1, `${key} should be enabled`)
+        assert.equal(disabled, undefined, `${key} should not be enabled`)
       }
       end()
     })
diff --git a/test/unit/aggregators/log-aggregator.test.js b/test/unit/aggregators/log-aggregator.test.js
index 382182e49d..db2c77fe18 100644
--- a/test/unit/aggregators/log-aggregator.test.js
+++ b/test/unit/aggregators/log-aggregator.test.js
@@ -10,7 +10,6 @@ const assert = require('node:assert')
 const LogAggregator = require('../../../lib/aggregators/log-aggregator')
 const Metrics = require('../../../lib/metrics')
 const helper = require('../../lib/agent_helper')
-
 const RUN_ID = 1337
 const LIMIT = 5
 
@@ -41,6 +40,21 @@ test('Log Aggregator', async (t) => {
           harvest_limits: {
             log_event_data: 42
           }
+        },
+        application_logging: {
+          metrics: {
+            enabled: true
+          },
+          local_decorating: {
+            enabled: true
+          },
+          forwarding: {
+            enabled: true,
+            labels: {
+              enabled: true,
+              exclude: []
+            }
+          }
         }
       }
     }
@@ -175,6 +189,38 @@ test('Log Aggregator', async (t) => {
     logEventAggregator.addBatch(logs, priority)
     assert.equal(logEventAggregator.getEvents().length, 3)
   })
+
+  await t.test('add labels to logs when enabled', (t) => {
+    const { agent, commonAttrs, logEventAggregator, log } = t.nr
+    const expectedLabels = {
+      'tags.label1': 'value1',
+      'tags.LABEL2-ALSO': 'value3'
+    }
+    agent.config.loggingLabels = expectedLabels
+
+    logEventAggregator.add(log)
+    const payload = logEventAggregator._toPayloadSync()
+    assert.deepStrictEqual(payload, [
+      { common: { attributes: { ...commonAttrs, ...expectedLabels } }, logs: [log] }
+    ])
+  })
+
+  await t.test(
+    'should not add labels to logs when `application_logging.forwarding.enabled` is false',
+    (t) => {
+      const { agent, commonAttrs, logEventAggregator, log } = t.nr
+      const expectedLabels = {
+        'tags.label1': 'value1',
+        'tags.LABEL2-ALSO': 'value3'
+      }
+      agent.config.loggingLabels = expectedLabels
+      agent.config.application_logging.forwarding.labels.enabled = false
+
+      logEventAggregator.add(log)
+      const payload = logEventAggregator._toPayloadSync()
+      assert.deepStrictEqual(payload, [{ common: { attributes: { ...commonAttrs } }, logs: [log] }])
+    }
+  )
 })
 
 test('big red button', async (t) => {
diff --git a/test/unit/collector/facts.test.js b/test/unit/collector/facts.test.js
index a4ffb2dd66..2eb7802088 100644
--- a/test/unit/collector/facts.test.js
+++ b/test/unit/collector/facts.test.js
@@ -15,6 +15,7 @@ const helper = require('../../lib/agent_helper')
 const sysInfo = require('../../../lib/system-info')
 const utilTests = require('../../lib/cross_agent_tests/utilization/utilization_json')
 const bootIdTests = require('../../lib/cross_agent_tests/utilization/boot_id')
+const parseLabels = require('../../../lib/util/label-parser')
 
 const APP_NAMES = ['a', 'c', 'b']
 const DISABLE_ALL_DETECTIONS = {
@@ -49,9 +50,13 @@ test('fun facts about apps that New Relic is interested in including', async (t)
 
     const logs = {
       debug: [],
-      trace: []
+      trace: [],
+      warn: []
     }
     const logger = {
+      warn(...args) {
+        logs.warn.push(args)
+      },
       debug(...args) {
         logs.debug.push(args)
       },
@@ -195,13 +200,16 @@ test('fun facts about apps that New Relic is interested in including', async (t)
   })
 
   await t.test('should convert label object to expected format', (t, end) => {
-    const { agent, facts } = t.nr
+    const { agent, logger, facts } = t.nr
     const longKey = '€'.repeat(257)
     const longValue = '𝌆'.repeat(257)
-    agent.config.labels = {
-      a: 'b',
-      [longKey]: longValue
-    }
+    agent.config.parsedLabels = parseLabels(
+      {
+        a: 'b',
+        [longKey]: longValue
+      },
+      { child: () => logger }
+    )
     facts(agent, (result) => {
       const expected = [
         { label_type: 'a', label_value: 'b' },
@@ -213,10 +221,12 @@ test('fun facts about apps that New Relic is interested in including', async (t)
   })
 
   await t.test('should convert label string to expected format', (t, end) => {
-    const { agent, facts } = t.nr
+    const { agent, logger, facts } = t.nr
     const longKey = '€'.repeat(257)
     const longValue = '𝌆'.repeat(257)
-    agent.config.labels = `a: b; ${longKey}: ${longValue}`
+    agent.config.parsedLabels = parseLabels(`a: b; ${longKey}: ${longValue}`, {
+      child: () => logger
+    })
     facts(agent, (result) => {
       const expected = [
         { label_type: 'a', label_value: 'b' },
diff --git a/test/unit/config/config.test.js b/test/unit/config/config.test.js
index f2bb4e15c9..f2d5a1a7c4 100644
--- a/test/unit/config/config.test.js
+++ b/test/unit/config/config.test.js
@@ -146,3 +146,80 @@ test('#publicSettings', async (t) => {
     assert.deepStrictEqual(configuration.applications(), ['test app name'])
   })
 })
+
+test('parsedLabels', () => {
+  const longKey = 'a'.repeat(257)
+  const longValue = 'b'.repeat(257)
+  const configuration = Config.initialize({ labels: `a: b; ${longKey}: ${longValue}` })
+  assert.deepEqual(configuration.parsedLabels, [
+    { label_type: 'a', label_value: 'b' },
+    { label_type: 'a'.repeat(255), label_value: 'b'.repeat(255) }
+  ])
+})
+
+test('loggingLabels', async (t) => {
+  await t.test('should exclude labels regardless of case', () => {
+    const config = {
+      labels: {
+        'label1': 'value1',
+        'LABEL2': 'value2',
+        'LABEL2-ALSO': 'value3'
+      },
+      application_logging: {
+        forwarding: {
+          labels: {
+            enabled: true,
+            exclude: ['LaBeL2']
+          }
+        }
+      }
+    }
+
+    const configuration = Config.initialize(config)
+    const expectedLabels = {
+      'tags.label1': 'value1',
+      'tags.LABEL2-ALSO': 'value3'
+    }
+
+    assert.deepEqual(configuration.loggingLabels, expectedLabels)
+  })
+
+  await t.test(
+    'should not add applicationLabels when `application_logging.forwarding.labels.enabled` is false',
+    () => {
+      const config = {
+        labels: {
+          'label1': 'value1',
+          'LABEL2': 'value2',
+          'LABEL2-ALSO': 'value3'
+        },
+        application_logging: {
+          forwarding: {
+            labels: {
+              enabled: false
+            }
+          }
+        }
+      }
+
+      const configuration = Config.initialize(config)
+      assert.deepEqual(configuration.loggingLabels, undefined)
+    }
+  )
+
+  await t.test('should not applicationLabels if no labels defined', () => {
+    const config = {
+      labels: {},
+      application_logging: {
+        forwarding: {
+          labels: {
+            enabled: true
+          }
+        }
+      }
+    }
+
+    const configuration = Config.initialize(config)
+    assert.deepEqual(configuration.loggingLabels, {})
+  })
+})
diff --git a/test/unit/feature_flag.test.js b/test/unit/feature_flag.test.js
index 12dcff62ae..43859d9873 100644
--- a/test/unit/feature_flag.test.js
+++ b/test/unit/feature_flag.test.js
@@ -105,6 +105,11 @@ test('should account for all *used* keys', (t) => {
 test('should warn if released flags are still in config', () => {
   let called = false
   Config.prototype.setLogger({
+    child() {
+      return {
+        warn() {}
+      }
+    },
     warn() {
       called = true
     },
@@ -119,6 +124,11 @@ test('should warn if released flags are still in config', () => {
 test('should warn if unreleased flags are still in config', () => {
   let called = false
   Config.prototype.setLogger({
+    child() {
+      return {
+        warn() {}
+      }
+    },
     warn() {
       called = true
     },
diff --git a/test/unit/util/application-logging.test.js b/test/unit/util/application-logging.test.js
index 2cdc84ad6a..a59cc59f3c 100644
--- a/test/unit/util/application-logging.test.js
+++ b/test/unit/util/application-logging.test.js
@@ -79,6 +79,9 @@ test('Application Logging Config Tests', async (t) => {
           enabled: false
         },
         forwarding: {
+          labels: {
+            enabled: false
+          },
           enabled: false
         },
         local_decorating: {
@@ -124,11 +127,22 @@ test('Application Logging Config Tests', async (t) => {
     const { config } = t.nr
     assert.equal(loggingUtils.isApplicationLoggingEnabled(config), false)
   })
+
+  await t.test('should be true when application_logging.forwarding.labels is true', (t) => {
+    const { config } = t.nr
+    config.application_logging.forwarding.labels.enabled = true
+    assert.equal(loggingUtils.isLogLabelingEnabled(config), true)
+  })
+
+  await t.test('should be false when application_logging.forwarding.labels is false', (t) => {
+    const { config } = t.nr
+    config.application_logging.forwarding.labels.enabled = false
+    assert.equal(loggingUtils.isLogLabelingEnabled(config), false)
+  })
 })
 
 test('incrementLoggingLinesMetrics', async (t) => {
   t.beforeEach((ctx) => {
-    console.log('before test')
     ctx.nr = {}
     const callCountStub = { incrementCallCount: sinon.stub() }
     ctx.nr.metricsStub = {