diff --git a/openmetadata-ui/src/main/resources/ui/src/components/common/MUITagSuggestion/MUITagSuggestion.tsx b/openmetadata-ui/src/main/resources/ui/src/components/common/MUITagSuggestion/MUITagSuggestion.tsx
index c288af878c0..c38aff54827 100644
--- a/openmetadata-ui/src/main/resources/ui/src/components/common/MUITagSuggestion/MUITagSuggestion.tsx
+++ b/openmetadata-ui/src/main/resources/ui/src/components/common/MUITagSuggestion/MUITagSuggestion.tsx
@@ -177,6 +177,11 @@ const MUITagSuggestion: FC<MUITagSuggestionProps> = ({
           }
           required={required}
           size="small"
+          slotProps={{
+            inputLabel: {
+              shrink: true,
+            },
+          }}
           variant="outlined"
         />
       )}
diff --git a/openmetadata-ui/src/main/resources/ui/src/components/common/MUIUserTeamSelect/MUIUserTeamSelect.tsx b/openmetadata-ui/src/main/resources/ui/src/components/common/MUIUserTeamSelect/MUIUserTeamSelect.tsx
index 70315a7ce97..c95d4cc9c26 100644
--- a/openmetadata-ui/src/main/resources/ui/src/components/common/MUIUserTeamSelect/MUIUserTeamSelect.tsx
+++ b/openmetadata-ui/src/main/resources/ui/src/components/common/MUIUserTeamSelect/MUIUserTeamSelect.tsx
@@ -358,6 +358,11 @@ const MUIUserTeamSelect: FC<MUIUserTeamSelectProps> = ({
           placeholder={getPlaceholderText()}
           required={required}
           size="small"
+          slotProps={{
+            inputLabel: {
+              shrink: true,
+            },
+          }}
           variant="outlined"
         />
       )}