diff --git a/CHANGELOG.md b/CHANGELOG.md
index 62b054ca..8845bc23 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -19,6 +19,7 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 - `custom/text`: The `content` setting and all its properties are deprecated in favor of `format` with the same functionality. ([`#2676`](https://github.com/polybar/polybar/pull/2676))
 
 ### Added
+-  Added support for TAG_LABEL (`<label>`) in ipc module  ([`#2841`](https://github.com/polybar/polybar/pull/2841))  by [@madhavpcm](https://github.com/madhavpcm).
 -  Added support for format-i for each hook-i defined in ipc module ([`#2775`](https://github.com/polybar/polybar/issues/2775),  [`#2810`](https://github.com/polybar/polybar/pull/2810))  by [@madhavpcm](https://github.com/madhavpcm).
 - `internal/temperature`: `%temperature-k%` token displays the temperature in kelvin ([`#2774`](https://github.com/polybar/polybar/discussions/2774), [`#2784`](https://github.com/polybar/polybar/pull/2784))
 - `internal/pulseaudio`: `reverse-scroll` option ([`#2664`](https://github.com/polybar/polybar/pull/2664))
diff --git a/include/modules/ipc.hpp b/include/modules/ipc.hpp
index 11fdcff4..403280d3 100644
--- a/include/modules/ipc.hpp
+++ b/include/modules/ipc.hpp
@@ -54,12 +54,17 @@ namespace modules {
     bool has_hook() const;
 
     void set_hook(int h);
-
+    void update_output() ;
    private:
-    static constexpr const char* TAG_OUTPUT{"<output>"};
+    static constexpr auto TAG_OUTPUT = "<output>";
+    static constexpr auto TAG_LABEL = "<label>";
+
+    label_t m_label;
+
     vector<unique_ptr<hook>> m_hooks;
     map<mousebtn, string> m_actions;
     string m_output;
+
     int m_initial{-1};
     int m_current_hook{-1};
     void exec_hook();
diff --git a/src/modules/ipc.cpp b/src/modules/ipc.cpp
index 41ee3fea..aaaac0ff 100644
--- a/src/modules/ipc.cpp
+++ b/src/modules/ipc.cpp
@@ -2,6 +2,7 @@
 
 #include <unistd.h>
 
+#include "drawtypes/label.hpp"
 #include "modules/meta/base.inl"
 
 POLYBAR_NS
@@ -59,11 +60,14 @@ namespace modules {
     for (auto& hook : m_hooks) {
       hook->command = pid_token(hook->command);
     }
-    m_formatter->add(DEFAULT_FORMAT, TAG_OUTPUT, {TAG_OUTPUT});
+
+    m_formatter->add(DEFAULT_FORMAT, TAG_LABEL, {TAG_LABEL, TAG_OUTPUT});
+
+    m_label = load_optional_label(m_conf, name(), TAG_LABEL, "%output%");
 
     for (size_t i = 0; i < m_hooks.size(); i++) {
       string format_i = "format-" + to_string(i);
-      m_formatter->add_optional(format_i, {TAG_OUTPUT});
+      m_formatter->add_optional(format_i, {TAG_LABEL});
     }
   }
 
@@ -122,12 +126,14 @@ namespace modules {
    * Output content retrieved from hook commands
    */
   bool ipc_module::build(builder* builder, const string& tag) const {
-    if (tag == TAG_OUTPUT) {
+    if (tag == TAG_LABEL) {
+      builder->node(m_label);
+      return true;
+    } else if (tag == TAG_OUTPUT) {
       builder->node(m_output);
       return true;
-    } else {
-      return false;
     }
+    return false;
   }
 
   /**
@@ -150,7 +156,7 @@ namespace modules {
 
   void ipc_module::action_send(const string& data) {
     m_output = data;
-    broadcast();
+    update_output();
   }
 
   void ipc_module::action_hook(const string& data) {
@@ -185,7 +191,8 @@ namespace modules {
     } else {
       m_current_hook = -1;
       m_output.clear();
-      broadcast();
+
+      update_output();
     }
   }
 
@@ -238,6 +245,14 @@ namespace modules {
       m_output.clear();
     }
 
+    update_output();
+  }
+
+  void ipc_module::update_output() {
+    if (m_label) {
+      m_label->reset_tokens();
+      m_label->replace_token("%output%", m_output);
+    }
     broadcast();
   }
 } // namespace modules