diff --git a/.changeset/label-declutter.md b/.changeset/label-declutter.md
new file mode 100644
index 0000000..e01441b
--- /dev/null
+++ b/.changeset/label-declutter.md
@@ -0,0 +1,19 @@
+---
+'@modernrelay/orbit-core': minor
+---
+
+Label declutter: screen-space overlap culling, on by default.
+
+Dense clusters used to stack their top-ranked labels into an unreadable
+pile — the selector ranked and viewport-culled but never checked where
+labels land on screen. Ranked selection now runs a greedy occupancy pass in
+rank order: a candidate whose estimated label box intersects an
+already-placed label loses its slot to the next-ranked candidate. `showFor`
+ids always render and claim their space first. New `LabelConfig` fields:
+`overlap: 'hide' (default) | 'allow'` and `overlapPadding` (px, default 2).
+Boxes are fixed-per-character estimates — decluttering, not typesetting —
+and selection stays overlap-blind when the viewport cannot project.
+Note for FakeEngine-based tests: the double projects identity coordinates,
+so decluttering engages there too — suites that pin label sets over
+tightly-packed fixtures should opt out with `overlap: 'allow'` (this
+repo's scheduling-focused suites now do).
diff --git a/apps/storybook/src/graph/Labels.stories.tsx b/apps/storybook/src/graph/Labels.stories.tsx
index 8ece142..4b3d96b 100644
--- a/apps/storybook/src/graph/Labels.stories.tsx
+++ b/apps/storybook/src/graph/Labels.stories.tsx
@@ -40,6 +40,20 @@ function frame(globals: Record<string, unknown>, props: Partial<DemoGraphProps>)
   );
 }
 
+/** the unbearable case: labels at every zoom, dense clusters — then declutter */
+const PILEUP_ALLOW: LabelConfig<DemoNodeAttrs> = {
+  minZoom: 0,
+  maxVisible: 64,
+  getText: labelOf,
+  overlap: 'allow',
+};
+const PILEUP_HIDE: LabelConfig<DemoNodeAttrs> = {
+  minZoom: 0,
+  maxVisible: 64,
+  getText: labelOf,
+  overlap: 'hide',
+};
+
 const meta = {
   title: 'Graph/Labels',
   parameters: {
@@ -87,3 +101,24 @@ export const CustomPills: Story = {
       ),
     }),
 };
+
+interface OverlapArgs {
+  overlap: 'hide' | 'allow';
+}
+
+export const Declutter: StoryObj<OverlapArgs> = {
+  args: { overlap: 'hide' },
+  argTypes: { overlap: { control: 'radio', options: ['hide', 'allow'] } },
+  parameters: {
+    docs: {
+      description: {
+        story:
+          "Screen-space declutter (the default): a ranked label whose box would " +
+          "land on an already-placed label passes its slot to the next candidate. " +
+          "Flip to 'allow' to see the old pileup.",
+      },
+    },
+  },
+  render: (args, { globals }) =>
+    frame(globals, { labels: args.overlap === 'hide' ? PILEUP_HIDE : PILEUP_ALLOW }),
+};
diff --git a/packages/core/src/labels.ts b/packages/core/src/labels.ts
index 9ec61b6..182fad3 100644
--- a/packages/core/src/labels.ts
+++ b/packages/core/src/labels.ts
@@ -138,6 +138,71 @@ export function selectLabelCandidates<N = Record<string, unknown>>(
     return degreeOf !== undefined ? degreeOf(i) : 0;
   };
 
+  // --- screen-space declutter (overlap: 'hide', the default) ---------------
+  // Greedy occupancy in RANK order: an estimated label box that intersects
+  // an already-claimed box loses its slot to the next-ranked candidate.
+  // Boxes are estimates (fixed per-character width) — the goal is
+  // decluttering, not typesetting. A uniform cell grid prunes the
+  // intersection tests; without a projectable viewport there are no boxes
+  // and selection stays overlap-blind.
+  const declutter = config.overlap !== 'allow' && project !== undefined;
+  // non-finite padding would give the occupancy grid infinite loop bounds
+  // (a main-thread hang) — degenerate input falls back to the default.
+  const configuredPad = config.overlapPadding ?? 2;
+  const pad = Number.isFinite(configuredPad) ? Math.max(0, configuredPad) : 2;
+  const CELL = 64;
+  const CHAR_W = 7;
+  const BOX_H = 18;
+  const keptBoxes: number[] = []; // x0,y0,x1,y1 quads
+  const cells = new Map<number, number[]>();
+  const cellKey = (cx: number, cy: number): number => cx * 100003 + cy;
+  const boxOf = (i: number, text: string): readonly [number, number, number, number] | null => {
+    const x = positions[2 * i];
+    const y = positions[2 * i + 1];
+    if (x === undefined || y === undefined || Number.isNaN(x) || Number.isNaN(y)) return null;
+    const sPt = project!([x, y]);
+    if (sPt === null) return null;
+    const w = CHAR_W * text.length + 8 + 2 * pad;
+    const h = BOX_H + 2 * pad;
+    return [sPt[0] - w / 2, sPt[1] - h / 2, sPt[0] + w / 2, sPt[1] + h / 2];
+  };
+  const collides = (b: readonly [number, number, number, number]): boolean => {
+    const cx0 = Math.floor(b[0] / CELL);
+    const cy0 = Math.floor(b[1] / CELL);
+    const cx1 = Math.floor(b[2] / CELL);
+    const cy1 = Math.floor(b[3] / CELL);
+    for (let cx = cx0; cx <= cx1; cx++) {
+      for (let cy = cy0; cy <= cy1; cy++) {
+        const bucket = cells.get(cellKey(cx, cy));
+        if (bucket === undefined) continue;
+        for (const q of bucket) {
+          const x0 = keptBoxes[q]!;
+          const y0 = keptBoxes[q + 1]!;
+          const x1 = keptBoxes[q + 2]!;
+          const y1 = keptBoxes[q + 3]!;
+          if (b[0] < x1 && b[2] > x0 && b[1] < y1 && b[3] > y0) return true;
+        }
+      }
+    }
+    return false;
+  };
+  const claim = (b: readonly [number, number, number, number]): void => {
+    const q = keptBoxes.length;
+    keptBoxes.push(b[0], b[1], b[2], b[3]);
+    const cx0 = Math.floor(b[0] / CELL);
+    const cy0 = Math.floor(b[1] / CELL);
+    const cx1 = Math.floor(b[2] / CELL);
+    const cy1 = Math.floor(b[3] / CELL);
+    for (let cx = cx0; cx <= cx1; cx++) {
+      for (let cy = cy0; cy <= cy1; cy++) {
+        const key = cellKey(cx, cy);
+        const bucket = cells.get(key);
+        if (bucket === undefined) cells.set(key, [q]);
+        else bucket.push(q);
+      }
+    }
+  };
+
   const out: LabelCandidate[] = [];
   const chosen = new Set<number>();
   let overloadCount = 0;
@@ -158,7 +223,14 @@ export function selectLabelCandidates<N = Record<string, unknown>>(
     for (let j = 0; j < take; j++) {
       const i = forcedIdx[j]!;
       chosen.add(i);
-      out.push({ id: scene.idByIndex[i]!, text: textOf(i), forced: true });
+      const text = textOf(i);
+      if (declutter) {
+        // forced ids always render; they claim space so ranked fills avoid
+        // stacking onto them (forced-on-forced overlap is the host's call).
+        const b = boxOf(i, text);
+        if (b !== null) claim(b);
+      }
+      out.push({ id: scene.idByIndex[i]!, text, forced: true });
     }
   }
 
@@ -170,10 +242,18 @@ export function selectLabelCandidates<N = Record<string, unknown>>(
       ranked.push({ i, w: weightOf(i) });
     }
     ranked.sort((a, b) => b.w - a.w || a.i - b.i); // weight desc, accepted-base tie-break
-    const need = k - out.length;
-    for (let j = 0; j < need && j < ranked.length; j++) {
+    for (let j = 0; j < ranked.length && out.length < k; j++) {
       const i = ranked[j]!.i;
-      out.push({ id: scene.idByIndex[i]!, text: textOf(i), forced: false });
+      const text = textOf(i);
+      if (declutter) {
+        const b = boxOf(i, text);
+        // unprojectable here ⇒ visibility already fell back — keep the label
+        if (b !== null) {
+          if (collides(b)) continue; // the slot passes to the next-ranked
+          claim(b);
+        }
+      }
+      out.push({ id: scene.idByIndex[i]!, text, forced: false });
     }
   }
 
diff --git a/packages/core/src/types.ts b/packages/core/src/types.ts
index 5a994e6..7b993cb 100644
--- a/packages/core/src/types.ts
+++ b/packages/core/src/types.ts
@@ -837,6 +837,19 @@ export interface LabelConfig<N = Record<string, unknown>> {
   getText?: (node: GraphNode<N>) => string;
   /** Ranking weight; default nodeSize result order, else degree. */
   getWeight?: (node: GraphNode<N>) => number;
+  /**
+   * Screen-space overlap policy for ranked labels. 'hide' (default)
+   * declutters: a candidate whose estimated label box intersects an
+   * already-placed label loses its slot to the next-ranked candidate, so
+   * dense clusters stop stacking text. `showFor` ids always render and claim
+   * their space first. 'allow' restores overlap-blind selection. Boxes are
+   * width ESTIMATES (fixed per-character size) — decluttering, not
+   * typesetting — and require a projectable viewport; with an engine that
+   * cannot project screen coordinates, selection stays overlap-blind.
+   */
+  overlap?: 'hide' | 'allow';
+  /** Extra padding (CSS px) inflating each estimated label box. Default 2. */
+  overlapPadding?: number;
 }
 
 /** accessibility runtime options. */
diff --git a/packages/core/test/cluster-labels.test.ts b/packages/core/test/cluster-labels.test.ts
index 3f06dbf..a715784 100644
--- a/packages/core/test/cluster-labels.test.ts
+++ b/packages/core/test/cluster-labels.test.ts
@@ -56,7 +56,9 @@ interface Rig {
   placements: () => LabelPlacement[];
 }
 
-async function rig(labels: LabelConfig<NA> = { minZoom: 0 }): Promise<Rig> {
+// overlap: 'allow' — these tests pin the LOD hand-off, not declutter
+// (FakeEngine's 10px seed grid would otherwise cull stacked fixtures).
+async function rig(labels: LabelConfig<NA> = { minZoom: 0, overlap: 'allow' }): Promise<Rig> {
   const engines: FakeEngine[] = [];
   const instance = createGraphInstance<NA, EA>({
     engine: () => {
@@ -177,7 +179,7 @@ describe('label.maxZoom LOD hand-off', () => {
     const { instance, engine, placements } = await rig({ minZoom: 0, maxZoom: 2 });
     engine.injectViewportChange({ x: 0, y: 0, zoom: 5 });
     // Force the throttled re-rank synchronously through a labels-config write.
-    instance.applyHostUpdate({ labels: { minZoom: 0, maxZoom: 2 } });
+    instance.applyHostUpdate({ labels: { minZoom: 0, maxZoom: 2, overlap: 'allow' } });
 
     const list = placements();
     expect(clusterLabels(list)).toEqual([]);
@@ -185,14 +187,14 @@ describe('label.maxZoom LOD hand-off', () => {
   });
 
   it('without maxZoom the two bands coexist, each on its own gate', async () => {
-    const { placements } = await rig({ minZoom: 0 });
+    const { placements } = await rig({ minZoom: 0, overlap: 'allow' });
     const list = placements();
     expect(clusterLabels(list).map((p) => p.id)).toEqual(['red', 'blue']);
     expect(nodeLabels(list).map((p) => p.id)).toEqual(['a', 'c', 'b', 'd']); // degree rank
   });
 
   it('cluster labels lead the emitted order (coarse layer first)', async () => {
-    const { placements } = await rig({ minZoom: 0 });
+    const { placements } = await rig({ minZoom: 0, overlap: 'allow' });
     expect(placements().map((p) => p.kind ?? 'node')).toEqual([
       'cluster',
       'cluster',
diff --git a/packages/core/test/labels.test.ts b/packages/core/test/labels.test.ts
index 5f5a829..343be82 100644
--- a/packages/core/test/labels.test.ts
+++ b/packages/core/test/labels.test.ts
@@ -262,3 +262,161 @@ describe('text and capacity policy', () => {
     expect(select({ ...f, viewport: vp(1), config: { maxVisible: 0 } }).placements).toHaveLength(0);
   });
 });
+
+describe('screen-space declutter (overlap: hide, the default)', () => {
+  // identity projection: space coords ARE screen px, boxes ~7px/char + 8 + padding
+  const RECT: readonly [number, number, number, number] = [0, 0, 1000, 1000];
+
+  it('culls a lower-ranked label stacked on a winner; the slot passes to the next candidate', () => {
+    // a and b share a spot; c is far away. k=2 → a (top weight) + c, never b.
+    const f = fixture(
+      ['a', 'b', 'c'],
+      [
+        [100, 100],
+        [104, 102],
+        [600, 600],
+      ],
+    );
+    const result = select({
+      ...f,
+      viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity },
+      config: { maxVisible: 2, getWeight: (n) => ({ a: 3, b: 2, c: 1 })[n.id] ?? 0 },
+    });
+    expect(ids(result)).toEqual(['a', 'c']);
+  });
+
+  it('rejected candidates do not consume capacity (stacked pairs each yield one)', () => {
+    // two stacked pairs + one free node; k=3 → one per pair + the free node
+    const f = fixture(
+      ['a', 'b', 'c', 'd', 'e'],
+      [
+        [100, 100],
+        [102, 101],
+        [500, 500],
+        [503, 499],
+        [900, 900],
+      ],
+    );
+    const result = select({
+      ...f,
+      viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity },
+      config: {
+        maxVisible: 3,
+        getWeight: (n) => ({ a: 5, b: 4, c: 3, d: 2, e: 1 })[n.id] ?? 0,
+      },
+    });
+    expect(ids(result)).toEqual(['a', 'c', 'e']);
+  });
+
+  it('showFor ids always render and claim their space from ranked fills', () => {
+    // forced pair stacked together both render; ranked candidate on the same
+    // spot is culled, a distant one fills instead.
+    const f = fixture(
+      ['f1', 'f2', 'r1', 'r2'],
+      [
+        [100, 100],
+        [101, 101],
+        [103, 99],
+        [700, 700],
+      ],
+    );
+    const result = select({
+      ...f,
+      viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity },
+      config: {
+        maxVisible: 4,
+        showFor: ['f1', 'f2'],
+        getWeight: (n) => (n.id === 'r1' ? 2 : 1),
+      },
+    });
+    expect(ids(result)).toEqual(['f1', 'f2', 'r2']);
+  });
+
+  it("overlap: 'allow' restores overlap-blind selection", () => {
+    const f = fixture(
+      ['a', 'b'],
+      [
+        [100, 100],
+        [101, 101],
+      ],
+    );
+    const result = select({
+      ...f,
+      viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity },
+      config: { maxVisible: 2, overlap: 'allow' },
+    });
+    expect(ids(result)).toEqual(['a', 'b']);
+  });
+
+  it('without a projectable viewport, selection stays overlap-blind', () => {
+    const f = fixture(
+      ['a', 'b'],
+      [
+        [100, 100],
+        [101, 101],
+      ],
+    );
+    const result = select({
+      ...f,
+      viewport: { zoom: 2 }, // no rect, no spaceToScreen
+      config: { maxVisible: 2 },
+    });
+    expect(ids(result)).toEqual(['a', 'b']);
+  });
+
+  it('overlapPadding widens the exclusion zone', () => {
+    // 60px apart: separate at default padding, colliding at padding 40
+    const f = fixture(
+      ['a', 'b'],
+      [
+        [100, 100],
+        [160, 100],
+      ],
+    );
+    const base = {
+      ...f,
+      viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity } as const,
+    };
+    expect(ids(select({ ...base, config: { maxVisible: 2 } }))).toEqual(['a', 'b']);
+    expect(ids(select({ ...base, config: { maxVisible: 2, overlapPadding: 40 } }))).toEqual(['a']);
+  });
+
+  it('non-finite overlapPadding falls back to the default instead of hanging', () => {
+    const f = fixture(
+      ['a', 'b', 'c'],
+      [
+        [100, 100],
+        [104, 102],
+        [600, 600],
+      ],
+    );
+    for (const bad of [Infinity, Number.NaN, -Infinity]) {
+      const result = select({
+        ...f,
+        viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity },
+        config: { maxVisible: 2, overlapPadding: bad, getWeight: (n) => ({ a: 3, b: 2, c: 1 })[n.id] ?? 0 },
+      });
+      // terminates AND behaves exactly like the default padding
+      expect(ids(result)).toEqual(['a', 'c']);
+    }
+  });
+
+  it('is deterministic across repeated calls', () => {
+    const f = fixture(
+      ['a', 'b', 'c', 'd'],
+      [
+        [100, 100],
+        [102, 100],
+        [400, 400],
+        [402, 401],
+      ],
+    );
+    const args = {
+      ...f,
+      viewport: { zoom: 2, screenRect: RECT, spaceToScreen: identity } as const,
+      config: { maxVisible: 4 },
+    };
+    const first = ids(select(args));
+    for (let n = 0; n < 5; n++) expect(ids(select(args))).toEqual(first);
+  });
+});
diff --git a/packages/core/test/overlay-scheduler.test.ts b/packages/core/test/overlay-scheduler.test.ts
index a723587..4d9d7b4 100644
--- a/packages/core/test/overlay-scheduler.test.ts
+++ b/packages/core/test/overlay-scheduler.test.ts
@@ -37,7 +37,8 @@ async function setup(labelOverrides: Partial<LabelConfig<NAttrs>> = {}) {
   const engine = h.engines[0]!;
   h.instance.applyHostUpdate({
     data: snap(1, ['a', 'b', 'c'], [['a', 'b'], ['a', 'c']]),
-    labels: { minZoom: 0, ...labelOverrides },
+    // overlap-blind by default: this file pins scheduling, not declutter
+    labels: { minZoom: 0, overlap: 'allow', ...labelOverrides },
   });
   engine.emitFrame(0); // sim-hot: first tick refreshes the CPU cache
   engine.injectSimulationEnd(); // settle: bank + re-rank
diff --git a/packages/core/test/s8-crosscuts.test.ts b/packages/core/test/s8-crosscuts.test.ts
index 5307aa9..08a79af 100644
--- a/packages/core/test/s8-crosscuts.test.ts
+++ b/packages/core/test/s8-crosscuts.test.ts
@@ -318,7 +318,7 @@ describe('label lane × hard scope', () => {
     const engine = engines[0]!;
     instance.applyHostUpdate({
       data: snap(1, [...CHAIN_IDS], CHAIN_LINKS),
-      labels: { minZoom: 0, showFor: ['d'] },
+      labels: { minZoom: 0, showFor: ['d'], overlap: 'allow' },
     });
     engine.injectSimulationEnd(); // settle: bank positions + full-base rank
 
@@ -336,7 +336,7 @@ describe('label lane × hard scope', () => {
     engine.injectSimulationEnd();
     engine.injectViewportChange({ x: 0, y: 0, zoom: 2 });
     vi.advanceTimersByTime(100); // trailing viewport re-rank
-    instance.applyHostUpdate({ labels: { minZoom: 0, showFor: ['b', 'd'] } });
+    instance.applyHostUpdate({ labels: { minZoom: 0, showFor: ['b', 'd'], overlap: 'allow' } });
     expect(emissions.at(-1)).toEqual(['b', 'a']); // in-scope forced id first
     for (const list of emissions.slice(scopedFrom)) {
       for (const id of list) expect(['a', 'b']).toContain(id);
diff --git a/packages/core/test/scheduler-invariants.test.ts b/packages/core/test/scheduler-invariants.test.ts
index 9682b9d..495e500 100644
--- a/packages/core/test/scheduler-invariants.test.ts
+++ b/packages/core/test/scheduler-invariants.test.ts
@@ -41,7 +41,8 @@ async function setup(labelOverrides: Partial<LabelConfig<NAttrs>> = {}) {
   const engine = h.engines[0]!;
   h.instance.applyHostUpdate({
     data: snap(1, IDS),
-    labels: { minZoom: 0, maxVisible: 64, ...labelOverrides },
+    // overlap-blind by default: this file pins frame-tick invariants
+    labels: { minZoom: 0, maxVisible: 64, overlap: 'allow', ...labelOverrides },
   });
   engine.emitFrame(0); // sim-hot: first tick refreshes the CPU cache
   engine.injectSimulationEnd(); // settle: bank + re-rank
diff --git a/packages/core/test/scope-instance.test.ts b/packages/core/test/scope-instance.test.ts
index ac9d00d..6459fae 100644
--- a/packages/core/test/scope-instance.test.ts
+++ b/packages/core/test/scope-instance.test.ts
@@ -217,7 +217,7 @@ describe('label lane × scope', () => {
     const engine = h.engines[0]!;
     h.instance.applyHostUpdate({
       data: snap(1, ['a', 'b', 'c'], [['a', 'b'], ['a', 'c']]),
-      labels: { minZoom: 0 },
+      labels: { minZoom: 0, overlap: 'allow' },
     });
     engine.injectSimulationEnd(); // settle: bank positions + re-rank
 
diff --git a/packages/core/test/soft-filter.test.ts b/packages/core/test/soft-filter.test.ts
index 0a535ed..a5bf756 100644
--- a/packages/core/test/soft-filter.test.ts
+++ b/packages/core/test/soft-filter.test.ts
@@ -280,7 +280,7 @@ describe('selection over the visible set', () => {
 describe('label lane × mask', () => {
   it('mask-hidden nodes leave the candidate set', async () => {
     const { instance, engine } = await readyChain();
-    instance.applyHostUpdate({ labels: { enabled: true } });
+    instance.applyHostUpdate({ labels: { enabled: true, overlap: 'allow' } });
     engine.injectSimulationEnd(); // bank positions so candidates are placeable
 
     let latest: readonly { id: string }[] = [];
diff --git a/packages/react/test/security-fixture.test.tsx b/packages/react/test/security-fixture.test.tsx
index 6d66d72..1007091 100644
--- a/packages/react/test/security-fixture.test.tsx
+++ b/packages/react/test/security-fixture.test.tsx
@@ -77,7 +77,7 @@ async function mountPayloadGraph(children?: ReactNode): Promise<{
     <Graph
       engine={() => engine}
       data={payloadDataset}
-      labels={{ minZoom: 0 }}
+      labels={{ minZoom: 0, overlap: 'allow' }} // every payload must render — subject is escaping, not declutter
       accessibility={{ label: 'Payload graph' }}
     >
       {children}