diff --git a/apps/app/store/labels.ts b/apps/app/store/labels.ts
new file mode 100644
index 000000000..9e3452d1c
--- /dev/null
+++ b/apps/app/store/labels.ts
@@ -0,0 +1,102 @@
+// mobx
+import { action, observable, runInAction, makeObservable } from "mobx";
+
+// services
+import issueService from "services/issues.service";
+
+// types
+import type { IIssueLabels, LabelForm, ICurrentUserResponse } from "types";
+
+class LabelStore {
+  labels: IIssueLabels[] = [];
+  rootStore: any | null = null;
+
+  constructor(_rootStore: any | null = null) {
+    makeObservable(this, {
+      labels: observable.ref,
+      loadLabels: action,
+      createLabel: action,
+      updateLabel: action,
+      deleteLabel: action,
+    });
+
+    this.rootStore = _rootStore;
+  }
+
+  loadLabels = async (workspaceSlug: string, projectId: string) => {
+    try {
+      const labelsResponse: IIssueLabels[] = await issueService.getIssueLabels(
+        workspaceSlug,
+        projectId
+      );
+      runInAction(() => {
+        this.labels = labelsResponse;
+      });
+    } catch (error) {
+      console.error("Fetching labels error", error);
+    }
+  };
+
+  createLabel = async (
+    workspaceSlug: string,
+    projectId: string,
+    labelForm: LabelForm,
+    user: ICurrentUserResponse
+  ) => {
+    try {
+      const labelResponse: IIssueLabels = await issueService.createIssueLabel(
+        workspaceSlug,
+        projectId,
+        labelForm,
+        user
+      );
+      runInAction(() => {
+        this.labels.push(labelResponse);
+      });
+    } catch (error) {
+      console.error("Creating label error", error);
+    }
+  };
+
+  updateLabel = async (
+    workspaceSlug: string,
+    projectId: string,
+    labelId: string,
+    labelForm: LabelForm,
+    user: ICurrentUserResponse
+  ) => {
+    try {
+      const labelResponse: IIssueLabels = await issueService.patchIssueLabel(
+        workspaceSlug,
+        projectId,
+        labelId,
+        labelForm,
+        user
+      );
+      runInAction(() => {
+        const labelIndex = this.labels.findIndex((label) => label.id === labelId);
+        this.labels[labelIndex] = labelResponse;
+      });
+    } catch (error) {
+      console.error("Updating label error", error);
+    }
+  };
+
+  deleteLabel = async (
+    workspaceSlug: string,
+    projectId: string,
+    labelId: string,
+    user: ICurrentUserResponse
+  ) => {
+    try {
+      await issueService.deleteIssueLabel(workspaceSlug, projectId, labelId, user);
+      runInAction(() => {
+        this.labels = this.labels.filter((label) => label.id !== labelId);
+      });
+    } catch (error) {
+      console.error("Deleting label error", error);
+    }
+  };
+}
+
+export default LabelStore;
diff --git a/apps/app/store/root.ts b/apps/app/store/root.ts
index 43daa32e6..4d081650e 100644
--- a/apps/app/store/root.ts
+++ b/apps/app/store/root.ts
@@ -3,15 +3,18 @@ import { enableStaticRendering } from "mobx-react-lite";
 // store imports
 import UserStore from "./user";
 import ThemeStore from "./theme";
+import LabelStore from "./labels";
 
 enableStaticRendering(typeof window === "undefined");
 
 export class RootStore {
   user;
   theme;
+  labels;
 
   constructor() {
     this.user = new UserStore(this);
     this.theme = new ThemeStore(this);
+    this.labels = new LabelStore(this);
   }
 }
diff --git a/apps/app/types/issues.d.ts b/apps/app/types/issues.d.ts
index 683704f9f..20271bdab 100644
--- a/apps/app/types/issues.d.ts
+++ b/apps/app/types/issues.d.ts
@@ -164,6 +164,15 @@ export interface IIssueLabels {
   parent: string | null;
 }
 
+export interface LabelForm {
+  name: string;
+  description: string;
+  color: string;
+  project: string;
+  workspace: string;
+  parent: string | null;
+}
+
 export interface IIssueActivity {
   actor: string;
   actor_detail: IUserLite;