Blogger Label Links effect your blog or site Page Rank in a negative way and that's a fact.
Why follow labels effect the PR of your blog?
Because search engines like Google scan your blog with robots routinely, and this includes your label or category tags that often return crawl errors and that's not good for SEO.
If you have a lot of links, posts and labels you probably already noticed that you have some crawl errors yourself and is a bad SEO practice.