Google has rolled out another tweak to its Gmail users that makes its labels work like folders. Now, you can drag emails directly to the labels. Other changes include the shift of the labels option to a new location on the left side bar. It is now located above the Chat section and you can now choose what labels you wish to see there. The other labels will of course be accessible via a drop down menu, yet another new feature addition. Sadly, the position of the Labels are fixed and you cannot re-arrange them.