Encapsulate label FG color calculation in component

Description

Proposal has not been finalized. Should we encapsulate this in the FE?

Context

The following discussion from !657 (merged) should be addressed:

• @pslaughter started a discussion:

  thought: I bet we could encapsulate the calculation for FG color in this component 🤔...

  Currently we get this from the BE, but it doesn't have to be that way... I'll create a follow up issue to explore this.