@Ahmed Elsayed Riad Abdelhady Elkeay Thank you for reaching out to us, As I understand you want to re-structure your existing Microsoft 365 Sensitivity labels, refer to this https://helloitsliam.com/2022/04/06/nested-sensitivity-labels-within-microsoft-365-using-powershell/ examples mentioned here would help to achieve your ask.
Let me know if you have any further questions, feel free to post back.
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