Labeling folders is slightly different from labeling items. When you attach a revision label to a folder, you can also attach it to the items that the folder contains and to everything in the subtree for which the folder is the root (its child folders and their contents).
If you detach a revision label from a folder, you can also detach the label from the items associated with the folder and, optionally, from the child folders and their items. If you detach a view label, the label is automatically detached from the items that the folder contains, from the child folders, and from their contents.