diff --git a/openpype/settings/entities/schemas/README.md b/openpype/settings/entities/schemas/README.md
index fbfd699937..b4bfef2972 100644
--- a/openpype/settings/entities/schemas/README.md
+++ b/openpype/settings/entities/schemas/README.md
@@ -745,6 +745,7 @@ How output of the schema could look like on save:
 ### label
 - add label with note or explanations
 - it is possible to use html tags inside the label
+- set `work_wrap` to `true`/`false` if you want to enable word wrapping in UI (default: `false`)
 
 ```
 {
diff --git a/openpype/tools/settings/settings/base.py b/openpype/tools/settings/settings/base.py
index bd48b3a966..44ec09b2ca 100644
--- a/openpype/tools/settings/settings/base.py
+++ b/openpype/tools/settings/settings/base.py
@@ -567,7 +567,9 @@ class GUIWidget(BaseWidget):
 
     def _create_label_ui(self):
         label = self.entity["label"]
+        word_wrap = self.entity.schema_data.get("word_wrap", False)
         label_widget = QtWidgets.QLabel(label, self)
+        label_widget.setWordWrap(word_wrap)
         label_widget.setTextInteractionFlags(QtCore.Qt.TextBrowserInteraction)
         label_widget.setObjectName("SettingsLabel")
         label_widget.linkActivated.connect(self._on_link_activate)