To use sensitivity labels with these standalone editions of Office on Windows computers, install the Azure Information Protection unified labeling client. This labeling client doesn't support standalone editions of Office, such as Office 2016 or Office 2019. To use sensitivity labels that are built into Office desktop apps for Windows and Mac, you must use a subscription edition of Office. For example, identify the minimum versions of apps you need to support built-in labeling, and understand interactions with the Azure Information Protection unified labeling client and compatibility with other apps and services. Use the information in this article to help you successfully manage sensitivity labels in Office apps. When you have published sensitivity labels from the Microsoft 365 compliance center or equivalent labeling center, they start to appear in Office apps for users to classify and protect data as it's created or edited.
Microsoft 365 licensing guidance for security & compliance.