Scoped labels removed when moving issue to Closed pipeline on a board

Summary

I have been digging into insights more, and have noticed when I drag an issue that has a scoped label to closed on the board view, it removes that scoped label. This is problematic for insights if I am looking to track, let's say, bug severity levels that have been closed (high, medium, low) and want to see how many of each over a time period have closed. However, if I close the issue from within the issue itself (or an MR closes the issue), the scoped label does not get removed so the above example for insights works.

Steps to reproduce

Move an issue with a scoped label to closed on the issue board. Issue will now have scoped label removed

Example Project

Tech PMM Demo

What is the current bug behavior?

Scoped Labels are removed from the issue when moved to Closed (only when action is taken by dragging and dropping in board view)

Screen_Shot_2019-12-12_at_10.30.59_AM

Screen_Shot_2019-12-12_at_10.31.30_AM

Screen_Shot_2019-12-12_at_10.35.37_AM

What is the expected correct behavior?

Scoped Labels should be retained on the closed issue. This allows for more accurate tracking with features such as insights

Screen_Shot_2019-12-12_at_10.56.31_AM

Screen_Shot_2019-12-12_at_10.37.08_AM

Relevant logs and/or screenshots

(Paste any relevant logs - please use code blocks (```) to format console output, logs, and code as it's tough to read otherwise.)

Output of checks

(If you are reporting a bug on GitLab.com, write: This bug happens on GitLab.com)

Results of GitLab environment info

Expand for output related to GitLab environment info 
(For installations with omnibus-gitlab package run and paste the output of:
sudo gitlab-rake gitlab:env:info)


(For installations from source run and paste the output of:
sudo -u git -H bundle exec rake gitlab:env:info RAILS_ENV=production)

Results of GitLab application Check

Expand for output related to the GitLab application check 
(For installations with omnibus-gitlab package run and paste the output of:
sudo gitlab-rake gitlab:check SANITIZE=true)


(For installations from source run and paste the output of:
sudo -u git -H bundle exec rake gitlab:check RAILS_ENV=production SANITIZE=true)


(we will only investigate if the tests are passing)

Possible fixes

(If you can, link to the line of code that might be responsible for the problem)

Edited by Dan Jensen