diff --git a/app/controllers/api/v1/accounts_controller.rb b/app/controllers/api/v1/accounts_controller.rb
index c610dc846..4d675593f 100644
--- a/app/controllers/api/v1/accounts_controller.rb
+++ b/app/controllers/api/v1/accounts_controller.rb
@@ -92,7 +92,7 @@ class Api::V1::AccountsController < Api::BaseController
   end
 
   def settings_params
-    params.permit(:auto_resolve_after, :auto_resolve_message, :auto_resolve_ignore_waiting)
+    params.permit(:auto_resolve_after, :auto_resolve_message, :auto_resolve_ignore_waiting, :auto_resolve_label)
   end
 
   def check_signup_enabled
diff --git a/app/javascript/dashboard/components-next/filter/inputs/FilterSelect.vue b/app/javascript/dashboard/components-next/filter/inputs/FilterSelect.vue
index 9f71a8361..2c4d0b01f 100644
--- a/app/javascript/dashboard/components-next/filter/inputs/FilterSelect.vue
+++ b/app/javascript/dashboard/components-next/filter/inputs/FilterSelect.vue
@@ -74,6 +74,7 @@ const updateSelected = newValue => {
       <slot name="trigger" :toggle="toggle">
         <Button
           ref="triggerRef"
+          type="button"
           sm
           slate
           :variant
diff --git a/app/javascript/dashboard/components-next/filter/inputs/SingleSelect.vue b/app/javascript/dashboard/components-next/filter/inputs/SingleSelect.vue
index 7fb143883..f743472a3 100644
--- a/app/javascript/dashboard/components-next/filter/inputs/SingleSelect.vue
+++ b/app/javascript/dashboard/components-next/filter/inputs/SingleSelect.vue
@@ -9,7 +9,14 @@ import DropdownSection from 'next/dropdown-menu/base/DropdownSection.vue';
 import DropdownBody from 'next/dropdown-menu/base/DropdownBody.vue';
 import DropdownItem from 'next/dropdown-menu/base/DropdownItem.vue';
 
-const { options } = defineProps({
+const {
+  options,
+  disableSearch,
+  placeholderIcon,
+  placeholder,
+  placeholderTrailingIcon,
+  searchPlaceholder,
+} = defineProps({
   options: {
     type: Array,
     required: true,
@@ -18,6 +25,22 @@ const { options } = defineProps({
     type: Boolean,
     default: false,
   },
+  placeholderIcon: {
+    type: String,
+    default: 'i-lucide-plus',
+  },
+  placeholder: {
+    type: String,
+    default: '',
+  },
+  placeholderTrailingIcon: {
+    type: Boolean,
+    default: false,
+  },
+  searchPlaceholder: {
+    type: String,
+    default: '',
+  },
 });
 
 const { t } = useI18n();
@@ -69,15 +92,26 @@ const toggleSelected = option => {
         sm
         slate
         faded
+        type="button"
         :icon="selectedItem.icon"
         :label="selectedItem.name"
         @click="toggle"
       />
-      <Button v-else sm slate faded @click="toggle">
+      <Button
+        v-else
+        sm
+        slate
+        faded
+        type="button"
+        :trailing-icon="placeholderTrailingIcon"
+        @click="toggle"
+      >
         <template #icon>
-          <Icon icon="i-lucide-plus" class="text-n-slate-11" />
+          <Icon :icon="placeholderIcon" class="text-n-slate-11" />
         </template>
-        <span class="text-n-slate-11">{{ t('COMBOBOX.PLACEHOLDER') }}</span>
+        <span class="text-n-slate-11">{{
+          placeholder || t('COMBOBOX.PLACEHOLDER')
+        }}</span>
       </Button>
     </template>
     <DropdownBody class="top-0 min-w-56 z-50" strong>
@@ -87,7 +121,7 @@ const toggleSelected = option => {
           v-model="searchTerm"
           autofocus
           class="p-1.5 pl-8 text-n-slate-11 bg-n-alpha-1 rounded-lg w-full"
-          :placeholder="t('COMBOBOX.SEARCH_PLACEHOLDER')"
+          :placeholder="searchPlaceholder || t('COMBOBOX.SEARCH_PLACEHOLDER')"
         />
       </div>
       <DropdownSection class="max-h-80 overflow-scroll">
diff --git a/app/javascript/dashboard/components-next/input/DurationInput.vue b/app/javascript/dashboard/components-next/input/DurationInput.vue
index 15c6d102a..802e1d500 100644
--- a/app/javascript/dashboard/components-next/input/DurationInput.vue
+++ b/app/javascript/dashboard/components-next/input/DurationInput.vue
@@ -1,7 +1,8 @@
 <script setup>
-import { computed, ref } from 'vue';
+import { computed, watch } from 'vue';
 import Input from './Input.vue';
 import { useI18n } from 'vue-i18n';
+import { DURATION_UNITS } from './constants';
 
 const props = defineProps({
   min: { type: Number, default: 0 },
@@ -11,36 +12,50 @@ const props = defineProps({
 
 const { t } = useI18n();
 const duration = defineModel('modelValue', { type: Number, default: null });
+const unit = defineModel('unit', {
+  type: String,
+  default: DURATION_UNITS.MINUTES,
+  validate(value) {
+    return Object.values(DURATION_UNITS).includes(value);
+  },
+});
 
-const UNIT_TYPES = {
-  MINUTES: 'minutes',
-  HOURS: 'hours',
-  DAYS: 'days',
+const convertToMinutes = newValue => {
+  if (unit.value === DURATION_UNITS.MINUTES) {
+    return Math.floor(newValue);
+  }
+  if (unit.value === DURATION_UNITS.HOURS) {
+    return Math.floor(newValue) * 60;
+  }
+  return Math.floor(newValue) * 24 * 60;
 };
-const unit = ref(UNIT_TYPES.MINUTES);
 
 const transformedValue = computed({
   get() {
-    if (unit.value === UNIT_TYPES.MINUTES) return duration.value;
-    if (unit.value === UNIT_TYPES.HOURS) return Math.floor(duration.value / 60);
-    if (unit.value === UNIT_TYPES.DAYS)
+    if (unit.value === DURATION_UNITS.MINUTES) return duration.value;
+    if (unit.value === DURATION_UNITS.HOURS)
+      return Math.floor(duration.value / 60);
+    if (unit.value === DURATION_UNITS.DAYS)
       return Math.floor(duration.value / 24 / 60);
 
     return 0;
   },
   set(newValue) {
-    let minuteValue;
-    if (unit.value === UNIT_TYPES.MINUTES) {
-      minuteValue = Math.floor(newValue);
-    } else if (unit.value === UNIT_TYPES.HOURS) {
-      minuteValue = Math.floor(newValue * 60);
-    } else if (unit.value === UNIT_TYPES.DAYS) {
-      minuteValue = Math.floor(newValue * 24 * 60);
-    }
+    let minuteValue = convertToMinutes(newValue);
 
     duration.value = Math.min(Math.max(minuteValue, props.min), props.max);
   },
 });
+
+// when unit is changed set the nearest value to that unit
+// so if the minute is set to 900, and the user changes the unit to "days"
+// the transformed value will show 0, but the real value will still be 900
+// this might create some confusion, especially when saving
+// this watcher fixes it by rounding the duration basically, to the nearest unit value
+watch(unit, () => {
+  let adjustedValue = convertToMinutes(transformedValue.value);
+  duration.value = Math.min(Math.max(adjustedValue, props.min), props.max);
+});
 </script>
 
 <template>
@@ -57,10 +72,12 @@ const transformedValue = computed({
     :disabled="disabled"
     class="mb-0 text-sm disabled:outline-n-weak disabled:opacity-40"
   >
-    <option :value="UNIT_TYPES.MINUTES">
+    <option :value="DURATION_UNITS.MINUTES">
       {{ t('DURATION_INPUT.MINUTES') }}
     </option>
-    <option :value="UNIT_TYPES.HOURS">{{ t('DURATION_INPUT.HOURS') }}</option>
-    <option :value="UNIT_TYPES.DAYS">{{ t('DURATION_INPUT.DAYS') }}</option>
+    <option :value="DURATION_UNITS.HOURS">
+      {{ t('DURATION_INPUT.HOURS') }}
+    </option>
+    <option :value="DURATION_UNITS.DAYS">{{ t('DURATION_INPUT.DAYS') }}</option>
   </select>
 </template>
diff --git a/app/javascript/dashboard/components-next/input/constants.js b/app/javascript/dashboard/components-next/input/constants.js
new file mode 100644
index 000000000..b8ed1d4a2
--- /dev/null
+++ b/app/javascript/dashboard/components-next/input/constants.js
@@ -0,0 +1,5 @@
+export const DURATION_UNITS = {
+  MINUTES: 'minutes',
+  HOURS: 'hours',
+  DAYS: 'days',
+};
diff --git a/app/javascript/dashboard/composables/useAccount.js b/app/javascript/dashboard/composables/useAccount.js
index 9a2ba012b..5a8441d33 100644
--- a/app/javascript/dashboard/composables/useAccount.js
+++ b/app/javascript/dashboard/composables/useAccount.js
@@ -45,9 +45,10 @@ export function useAccount() {
     };
   };
 
-  const updateAccount = async data => {
+  const updateAccount = async (data, options) => {
     await store.dispatch('accounts/update', {
       ...data,
+      options,
     });
   };
 
diff --git a/app/javascript/dashboard/i18n/locale/en/generalSettings.json b/app/javascript/dashboard/i18n/locale/en/generalSettings.json
index 7da76df18..d243c0583 100644
--- a/app/javascript/dashboard/i18n/locale/en/generalSettings.json
+++ b/app/javascript/dashboard/i18n/locale/en/generalSettings.json
@@ -46,7 +46,31 @@
       },
       "AUTO_RESOLVE": {
         "TITLE": "Auto-resolve conversations",
-        "NOTE": "This configuration would allow you to automatically resolve the conversation after a certain period. Set the duration and customize the message to the user below."
+        "NOTE": "This configuration would allow you to automatically resolve the conversation after a certain period of inactivity.",
+        "DURATION": {
+          "LABEL": "Inactivity duration",
+          "HELP": "Time period of inactivity after which conversation is auto-resolved",
+          "PLACEHOLDER": "30",
+          "ERROR": "Auto resolve duration should be between 10 minutes and 999 days",
+          "API": {
+            "SUCCESS": "Auto resolve settings updated successfully",
+            "ERROR": "Failed to update auto resolve settings"
+          }
+        },
+        "MESSAGE": {
+          "LABEL": "Custom auto-resolution message",
+          "PLACEHOLDER": "Conversation was marked resolved by system due to 15 days of inactivity",
+          "HELP": "Message sent to the customer after conversation is auto-resolved"
+        },
+        "PREFERENCES": "Preferences",
+        "LABEL": {
+          "LABEL": "Add label after auto-resolution",
+          "PLACEHOLDER": "Select a label"
+        },
+        "IGNORE_WAITING": {
+          "LABEL": "Skip conversations waiting for agent’s reply"
+        },
+        "UPDATE_BUTTON": "Save Changes"
       },
       "NAME": {
         "LABEL": "Account name",
@@ -68,24 +92,6 @@
         "PLACEHOLDER": "Your company's support email",
         "ERROR": ""
       },
-      "AUTO_RESOLVE_IGNORE_WAITING": {
-        "LABEL": "Exclude unattended conversations",
-        "HELP": "When enabled, the system will skip resolving conversations that are still waiting for an agent’s reply."
-      },
-      "AUTO_RESOLVE_DURATION": {
-        "LABEL": "Inactivity duration for resolution",
-        "HELP": "Duration after a conversation should auto resolve if there is no activity",
-        "PLACEHOLDER": "30",
-        "ERROR": "Auto resolve duration should be between 10 minutes and 999 days",
-        "API": {
-          "SUCCESS": "Auto resolve settings updated successfully",
-          "ERROR": "Failed to update auto resolve settings"
-        },
-        "UPDATE_BUTTON": "Update",
-        "MESSAGE_LABEL": "Custom resolution message",
-        "MESSAGE_PLACEHOLDER": "Conversation was marked resolved by system due to 15 days of inactivity",
-        "MESSAGE_HELP": "This message is sent to the customer when a conversation is automatically resolved by the system due to inactivity."
-      },
       "FEATURES": {
         "INBOUND_EMAIL_ENABLED": "Conversation continuity with emails is enabled for your account.",
         "CUSTOM_EMAIL_DOMAIN_ENABLED": "You can receive emails in your custom domain now."
diff --git a/app/javascript/dashboard/routes/dashboard/settings/account/components/AutoResolve.vue b/app/javascript/dashboard/routes/dashboard/settings/account/components/AutoResolve.vue
index 9816fc7e0..881ccb0e8 100644
--- a/app/javascript/dashboard/routes/dashboard/settings/account/components/AutoResolve.vue
+++ b/app/javascript/dashboard/routes/dashboard/settings/account/components/AutoResolve.vue
@@ -1,35 +1,78 @@
 <script setup>
-import { ref, watch } from 'vue';
+import { h, ref, watch, computed } from 'vue';
+import { useMapGetter } from 'dashboard/composables/store';
 import { useI18n } from 'vue-i18n';
 import { useAccount } from 'dashboard/composables/useAccount';
 import { useAlert } from 'dashboard/composables';
 import SectionLayout from './SectionLayout.vue';
 import WithLabel from 'v3/components/Form/WithLabel.vue';
-import DurationInput from 'next/input/DurationInput.vue';
 import TextArea from 'next/textarea/TextArea.vue';
 import Switch from 'next/switch/Switch.vue';
 import NextButton from 'dashboard/components-next/button/Button.vue';
+import DurationInput from 'next/input/DurationInput.vue';
+import SingleSelect from 'dashboard/components-next/filter/inputs/SingleSelect.vue';
+import { DURATION_UNITS } from 'dashboard/components-next/input/constants';
 
 const { t } = useI18n();
 const duration = ref(0);
+const unit = ref(DURATION_UNITS.MINUTES);
 const message = ref('');
+const labelToApply = ref({});
 const ignoreWaiting = ref(false);
 const isEnabled = ref(false);
+const isSubmitting = ref(false);
 
 const { currentAccount, updateAccount } = useAccount();
 
+const labels = useMapGetter('labels/getLabels');
+
+const labelOptions = computed(() =>
+  labels.value?.length
+    ? labels.value.map(label => ({
+        id: label.title,
+        name: label.title,
+        icon: h('span', {
+          class: `size-[12px] ring-1 ring-n-alpha-1 dark:ring-white/20 ring-inset rounded-sm`,
+          style: { backgroundColor: label.color },
+        }),
+      }))
+    : []
+);
+
+const selectedLabelName = computed(() => {
+  return labelToApply.value?.name ?? null;
+});
+
 watch(
-  currentAccount,
+  [currentAccount, labelOptions],
   () => {
     const {
       auto_resolve_after,
       auto_resolve_message,
       auto_resolve_ignore_waiting,
+      auto_resolve_label,
     } = currentAccount.value?.settings || {};
 
     duration.value = auto_resolve_after;
     message.value = auto_resolve_message;
     ignoreWaiting.value = auto_resolve_ignore_waiting;
+    // find the correct label option from the list
+    // the single select component expects the full label object
+    // in our case, the label id and name are both the same
+    labelToApply.value = labelOptions.value.find(
+      option => option.name === auto_resolve_label
+    );
+
+    // Set unit based on duration and its divisibility
+    if (duration.value) {
+      if (duration.value % (24 * 60) === 0) {
+        unit.value = DURATION_UNITS.DAYS;
+      } else if (duration.value % 60 === 0) {
+        unit.value = DURATION_UNITS.HOURS;
+      } else {
+        unit.value = DURATION_UNITS.MINUTES;
+      }
+    }
 
     if (duration.value) {
       isEnabled.value = true;
@@ -40,16 +83,19 @@ watch(
 
 const updateAccountSettings = async settings => {
   try {
-    await updateAccount(settings);
-    useAlert(t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.API.SUCCESS'));
+    isSubmitting.value = true;
+    await updateAccount(settings, { silent: true });
+    useAlert(t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.DURATION.API.SUCCESS'));
   } catch (error) {
-    useAlert(t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.API.ERROR'));
+    useAlert(t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.DURATION.API.ERROR'));
+  } finally {
+    isSubmitting.value = false;
   }
 };
 
 const handleSubmit = async () => {
   if (duration.value < 10) {
-    useAlert(t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.ERROR'));
+    useAlert(t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.DURATION.ERROR'));
     return Promise.resolve();
   }
 
@@ -57,6 +103,7 @@ const handleSubmit = async () => {
     auto_resolve_after: duration.value,
     auto_resolve_message: message.value,
     auto_resolve_ignore_waiting: ignoreWaiting.value,
+    auto_resolve_label: selectedLabelName.value,
   });
 };
 
@@ -68,6 +115,7 @@ const handleDisable = async () => {
     auto_resolve_after: null,
     auto_resolve_message: '',
     auto_resolve_ignore_waiting: false,
+    auto_resolve_label: null,
   });
 };
 
@@ -80,6 +128,7 @@ const toggleAutoResolve = async () => {
   <SectionLayout
     :title="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.TITLE')"
     :description="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.NOTE')"
+    :hide-content="!isEnabled"
     with-border
   >
     <template #headerActions>
@@ -90,50 +139,65 @@ const toggleAutoResolve = async () => {
 
     <form class="grid gap-5" @submit.prevent="handleSubmit">
       <WithLabel
-        :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.LABEL')"
-        :help-message="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.HELP')"
+        :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.DURATION.LABEL')"
+        :help-message="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.DURATION.HELP')"
       >
         <div class="gap-2 w-full grid grid-cols-[3fr_1fr]">
           <!-- allow 10 mins to 999 days -->
           <DurationInput
             v-model="duration"
+            v-model:unit="unit"
             min="0"
-            max="1439856"
+            max="1438560"
             class="w-full"
           />
         </div>
       </WithLabel>
       <WithLabel
-        :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.MESSAGE_LABEL')"
-        :help-message="
-          t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.MESSAGE_HELP')
-        "
+        :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.MESSAGE.LABEL')"
+        :help-message="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.MESSAGE.HELP')"
       >
         <TextArea
           v-model="message"
           class="w-full"
           :placeholder="
-            t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.MESSAGE_PLACEHOLDER')
+            t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.MESSAGE.PLACEHOLDER')
           "
         />
       </WithLabel>
-      <WithLabel
-        :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_IGNORE_WAITING.LABEL')"
-      >
-        <template #rightOfLabel>
-          <Switch v-model="ignoreWaiting" />
-        </template>
-        <p class="text-sm ml-px text-n-slate-10 max-w-lg">
-          {{ t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_IGNORE_WAITING.HELP') }}
-        </p>
+      <WithLabel :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.PREFERENCES')">
+        <div
+          class="rounded-xl border border-n-weak bg-n-solid-1 w-full text-sm text-n-slate-12 divide-y divide-n-weak"
+        >
+          <div class="p-3 h-12 flex items-center justify-between">
+            <span>
+              {{ t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.IGNORE_WAITING.LABEL') }}
+            </span>
+            <Switch v-model="ignoreWaiting" />
+          </div>
+          <div class="p-3 h-12 flex items-center justify-between">
+            <span>
+              {{ t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.LABEL.LABEL') }}
+            </span>
+            <SingleSelect
+              v-model="labelToApply"
+              :options="labelOptions"
+              :placeholder="
+                $t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.LABEL.PLACEHOLDER')
+              "
+              placeholder-icon="i-lucide-chevron-down"
+              placeholder-trailing-icon
+              variant="faded"
+            />
+          </div>
+        </div>
       </WithLabel>
       <div class="flex gap-2">
         <NextButton
           blue
           type="submit"
-          :label="
-            t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE_DURATION.UPDATE_BUTTON')
-          "
+          :is-loading="isSubmitting"
+          :label="t('GENERAL_SETTINGS.FORM.AUTO_RESOLVE.UPDATE_BUTTON')"
         />
       </div>
     </form>
diff --git a/app/javascript/dashboard/routes/dashboard/settings/account/components/SectionLayout.vue b/app/javascript/dashboard/routes/dashboard/settings/account/components/SectionLayout.vue
index 5b203cd26..e9636a320 100644
--- a/app/javascript/dashboard/routes/dashboard/settings/account/components/SectionLayout.vue
+++ b/app/javascript/dashboard/routes/dashboard/settings/account/components/SectionLayout.vue
@@ -1,24 +1,19 @@
 <script setup>
 defineProps({
-  title: {
-    type: String,
-    required: true,
-  },
-  description: {
-    type: String,
-    required: true,
-  },
-  withBorder: {
-    type: Boolean,
-    default: false,
-  },
+  title: { type: String, required: true },
+  description: { type: String, required: true },
+  withBorder: { type: Boolean, default: false },
+  hideContent: { type: Boolean, default: false },
 });
 </script>
 
 <template>
   <section
-    class="grid grid-cols-1 py-8 gap-8"
-    :class="{ 'border-t border-n-weak': withBorder }"
+    class="grid grid-cols-1 pt-8 gap-5 [interpolate-size:allow-keywords]"
+    :class="{
+      'border-t border-n-weak': withBorder,
+      'pb-8': !hideContent,
+    }"
   >
     <header class="grid grid-cols-4">
       <div class="col-span-3">
@@ -33,7 +28,10 @@ defineProps({
         <slot name="headerActions" />
       </div>
     </header>
-    <div class="text-n-slate-12">
+    <div
+      class="transition-[height] duration-300 ease-in-out text-n-slate-12"
+      :class="{ 'overflow-hidden h-0': hideContent, 'h-auto': !hideContent }"
+    >
       <slot />
     </div>
   </section>
diff --git a/app/javascript/dashboard/store/modules/accounts.js b/app/javascript/dashboard/store/modules/accounts.js
index 662853720..0d5fdc748 100644
--- a/app/javascript/dashboard/store/modules/accounts.js
+++ b/app/javascript/dashboard/store/modules/accounts.js
@@ -63,8 +63,11 @@ export const actions = {
       });
     }
   },
-  update: async ({ commit }, updateObj) => {
-    commit(types.default.SET_ACCOUNT_UI_FLAG, { isUpdating: true });
+  update: async ({ commit }, { options, ...updateObj }) => {
+    if (options?.silent !== true) {
+      commit(types.default.SET_ACCOUNT_UI_FLAG, { isUpdating: true });
+    }
+
     try {
       const response = await AccountAPI.update('', updateObj);
       commit(types.default.EDIT_ACCOUNT, response.data);
diff --git a/app/jobs/conversations/resolution_job.rb b/app/jobs/conversations/resolution_job.rb
index 37a9d834c..d8f34f755 100644
--- a/app/jobs/conversations/resolution_job.rb
+++ b/app/jobs/conversations/resolution_job.rb
@@ -8,6 +8,7 @@ class Conversations::ResolutionJob < ApplicationJob
       # send message from bot that conversation has been resolved
       # do this is account.auto_resolve_message is set
       ::MessageTemplates::Template::AutoResolve.new(conversation: conversation).perform if account.auto_resolve_message.present?
+      conversation.add_labels(account.auto_resolve_label) if account.auto_resolve_label.present?
       conversation.toggle_status
     end
   end
diff --git a/app/models/account.rb b/app/models/account.rb
index fb156511b..80f13a1b8 100644
--- a/app/models/account.rb
+++ b/app/models/account.rb
@@ -35,7 +35,8 @@ class Account < ApplicationRecord
       {
         'auto_resolve_after': { 'type': %w[integer null], 'minimum': 10, 'maximum': 1_439_856 },
         'auto_resolve_message': { 'type': %w[string null] },
-        'auto_resolve_ignore_waiting': { 'type': %w[boolean null] }
+        'auto_resolve_ignore_waiting': { 'type': %w[boolean null] },
+        'auto_resolve_label': { 'type': %w[string null] }
       },
     'required': [],
     'additionalProperties': true
@@ -51,7 +52,7 @@ class Account < ApplicationRecord
                  schema: SETTINGS_PARAMS_SCHEMA,
                  attribute_resolver: ->(record) { record.settings }
 
-  store_accessor :settings, :auto_resolve_after, :auto_resolve_message, :auto_resolve_ignore_waiting
+  store_accessor :settings, :auto_resolve_after, :auto_resolve_message, :auto_resolve_ignore_waiting, :auto_resolve_label
 
   has_many :account_users, dependent: :destroy_async
   has_many :agent_bot_inboxes, dependent: :destroy_async
diff --git a/spec/jobs/conversations/resolution_job_spec.rb b/spec/jobs/conversations/resolution_job_spec.rb
index 0103bd72b..a80c39498 100644
--- a/spec/jobs/conversations/resolution_job_spec.rb
+++ b/spec/jobs/conversations/resolution_job_spec.rb
@@ -4,6 +4,7 @@ RSpec.describe Conversations::ResolutionJob do
   subject(:job) { described_class.perform_later(account: account) }
 
   let!(:account) { create(:account) }
+  let(:label) { create(:label, title: 'auto-resolved', account: account) }
   let!(:conversation) { create(:conversation, account: account) }
 
   it 'enqueues the job' do
@@ -47,6 +48,16 @@ RSpec.describe Conversations::ResolutionJob do
     end
   end
 
+  it 'adds a label after resolution' do
+    account.update(auto_resolve_label: 'auto-resolved', auto_resolve_after: 14_400)
+    conversation = create(:conversation, account: account, last_activity_at: 13.days.ago, waiting_since: 13.days.ago)
+
+    described_class.perform_now(account: account)
+
+    expect(conversation.reload.status).to eq('resolved')
+    expect(conversation.reload.label_list).to include('auto-resolved')
+  end
+
   it 'resolves only a limited number of conversations in a single execution' do
     stub_const('Limits::BULK_ACTIONS_LIMIT', 2)
     account.update(auto_resolve_after: 14_400, auto_resolve_ignore_waiting: false) # 10 days in minutes