Are you trying to shrink the whole row, and it's only this label and control on it?
If the text control is named txtMyText, try the following:
In the original report, remove the label, and make txtMyText very small (height). Add another text conttrol and remove it's label. Set the controlsource of the new textcontrol to:
[tt]="Your label text: " + [txtMyText][/tt]
Make it tiny, make the section tiny, both having the can grow properities set to yes.
Roy-Vidar