allow grouping when filter applied

src/components/resource-launcher/LauncherSettingsMenu.tsx

@@ -78,8 +78,9 @@ export function LauncherSettingsMenu({
                                 <SelectItem
                                     value="site"
                                     disabled={
-                                        isCompactMode ||
-                                        !capabilities.allowSiteGrouping
+                                        !capabilities.allowSiteGrouping ||
+                                        (isCompactMode &&
+                                            config.siteIds.length === 0)
                                     }
                                 >
                                     {t("resourceLauncherGroupBySite")}
@@ -87,8 +88,9 @@ export function LauncherSettingsMenu({
                                 <SelectItem
                                     value="label"
                                     disabled={
-                                        isCompactMode ||
-                                        !capabilities.allowLabelGrouping
+                                        !capabilities.allowLabelGrouping ||
+                                        (isCompactMode &&
+                                            config.labelIds.length === 0)
                                     }
                                 >
                                     {t("resourceLauncherGroupByLabel")}
@@ -97,7 +99,7 @@ export function LauncherSettingsMenu({
                         </Select>
                         {isCompactMode ? (
                             <p className="text-xs text-muted-foreground">
-                                {t("resourceLauncherCompactGroupingLocked")}
+                                {t("resourceLauncherCompactGroupingHint")}
                             </p>
                         ) : null}
                         {!isCompactMode && !capabilities.allowSiteGrouping ? (

src/components/resource-launcher/ResourceLauncher.tsx

@@ -549,12 +549,6 @@ export default function ResourceLauncher({
                 </div>
             )}
 
-            {scale.mode === "compact" && !showSearchFirstGate ? (
-                <p className="mb-4 text-sm text-muted-foreground">
-                    {t("resourceLauncherCompactModeHint")}
-                </p>
-            ) : null}
-
             {showSearchFirstGate ? (
                 <LauncherSearchFirstGate layout={config.layout} />
             ) : showGroupList ? (

src/lib/launcherScale.ts

@@ -15,11 +15,27 @@ export function getEffectiveGroupBy(
     scale: LauncherScaleInfo,
     config: LauncherViewConfig
 ): LauncherViewConfig["groupBy"] {
-    if (scale.mode === "compact") {
-        return "none";
+    if (scale.mode !== "compact") {
+        return config.groupBy;
     }
 
-    return config.groupBy;
+    if (
+        config.groupBy === "site" &&
+        config.siteIds.length > 0 &&
+        scale.capabilities.allowSiteGrouping
+    ) {
+        return "site";
+    }
+
+    if (
+        config.groupBy === "label" &&
+        config.labelIds.length > 0 &&
+        scale.capabilities.allowLabelGrouping
+    ) {
+        return "label";
+    }
+
+    return "none";
 }
 
 export function getEffectiveLauncherConfig(
@@ -49,9 +65,12 @@ export function shouldFetchLauncherGroups(
     }
 
     return (
-        scale.capabilities.allowSiteGrouping &&
-        groupBy === "site" &&
-        config.siteIds.length > 0
+        (scale.capabilities.allowSiteGrouping &&
+            groupBy === "site" &&
+            config.siteIds.length > 0) ||
+        (scale.capabilities.allowLabelGrouping &&
+            groupBy === "label" &&
+            config.labelIds.length > 0)
     );
 }