Abstract: A labeling machine is provided for the automatic transfer of labels with a pressure sensitive adhesive from a release backing to the surface of a package containing a product or to the surface of a product (hereinafter referred to as the "product". The labeling machine comprises a product transport system, a label transport system and a label transfer system. The product transport system moves the product into a labeling position. The label transport system moves labels which are on a backing from a supply reel, through a label stripper to separate the labels from the backing, and the backing continues to a takeup reel. The label transfer system picks up the labels stripped by the label stripper on a vacuum platen and applies the labels to the products being so identified.