Hi @RaKu,
I understand that you are having trouble printing to PDF files with sensitivity labels. If your organization uses mandatory labeling, the Print to PDF option will not be supported. This is listed in the Known issues for applying sensitivity labels to PDFs.
Certain versions of Office 365 also do not support this in general, but I'm not certain whether this applies to 2302 and you may need to reach out to the Microsoft 365 team to confirm this.
If these scenarios do not apply to your situation, I would also recommend troubleshooting by unchecking the box for "Microsoft Print to PDF" under Turn Windows features on or off, saving the settings, rebooting your machine, and then re-enabling the settings.
Microsoft 365 and Office support is offered in the separate online community here and I would recommend reaching out to them for further questions about this issue. I see also that someone has addressed a similar question in that forum.
If the information helped you, please Accept the answer. This will help us as well as others in the community who may be researching similar information.