diff --git a/RELEASE-NOTES.md b/RELEASE-NOTES.md
index 6951540..bdcb071 100644
--- a/RELEASE-NOTES.md
+++ b/RELEASE-NOTES.md
@@ -1,5 +1,11 @@
 # Release Notes
 
+## 3.4.2
+
+* [Fix label declaration](https://code.forgejo.org/forgejo/runner/pulls/176): Runner in daemon mode now takes labels found in config.yml into account when declaration was successful.
+* [Fix the docker compose example](https://code.forgejo.org/forgejo/runner/pulls/175) to workaround the race on labels.
+* [Fix the kubernetes dind example](https://code.forgejo.org/forgejo/runner/pulls/169).
+
 ## 3.4.1
 
 * Fixes a regression introduced in 3.4.0 by which a job with no image explicitly set would
diff --git a/internal/app/cmd/daemon.go b/internal/app/cmd/daemon.go
index e56a13f..8e47bf6 100644
--- a/internal/app/cmd/daemon.go
+++ b/internal/app/cmd/daemon.go
@@ -111,6 +111,7 @@ func runDaemon(ctx context.Context, configFile *string) func(cmd *cobra.Command,
 			log.Infof("runner: %s, with version: %s, with labels: %v, declared successfully",
 				resp.Msg.Runner.Name, resp.Msg.Runner.Version, resp.Msg.Runner.Labels)
 			// if declared successfully, override the labels in the.runner file with valid labels in the config file (if specified)
+			runner.Update(ctx, ls)
 			reg.Labels = ls.ToStrings()
 			if err := config.SaveRegistration(cfg.Runner.File, reg); err != nil {
 				return fmt.Errorf("failed to save runner config: %w", err)
diff --git a/internal/app/run/runner.go b/internal/app/run/runner.go
index ee12165..ff54fa7 100644
--- a/internal/app/run/runner.go
+++ b/internal/app/run/runner.go
@@ -242,3 +242,7 @@ func (r *Runner) Declare(ctx context.Context, labels []string) (*connect.Respons
 		Labels:  labels,
 	}))
 }
+
+func (r *Runner) Update(ctx context.Context, labels labels.Labels) {
+	r.labels = labels
+}
diff --git a/internal/app/run/runner_test.go b/internal/app/run/runner_test.go
new file mode 100644
index 0000000..0145c70
--- /dev/null
+++ b/internal/app/run/runner_test.go
@@ -0,0 +1,37 @@
+package run
+
+import (
+	"context"
+	"testing"
+
+	"gitea.com/gitea/act_runner/internal/pkg/labels"
+	"github.com/stretchr/testify/assert"
+)
+
+func TestLabelUpdate(t *testing.T) {
+	ctx := context.Background()
+	ls := labels.Labels{}
+
+	initialLabel, err := labels.Parse("testlabel:docker://alpine")
+	assert.NoError(t, err)
+	ls = append(ls, initialLabel)
+
+	newLs := labels.Labels{}
+
+	newLabel, err := labels.Parse("next label:host")
+	assert.NoError(t, err)
+	newLs = append(newLs, initialLabel)
+	newLs = append(newLs, newLabel)
+
+	runner := Runner{
+		labels: ls,
+	}
+
+	assert.Contains(t, runner.labels, initialLabel)
+	assert.NotContains(t, runner.labels, newLabel)
+
+	runner.Update(ctx, newLs)
+
+	assert.Contains(t, runner.labels, initialLabel)
+	assert.Contains(t, runner.labels, newLabel)
+}