Original User: mvolz47
Are the images yours or are you using something like ESRI public images? I just ask to see if you have any control of the properties of the images.
Are your labels changing dynamically based on whether the aerial photos are on or not?
Are there any error messages when publishing your mapservice that might give an indication as to why this might be occurring with the mapservice and not the mxd itself?
Can you open the mxd in ArcMap and add the image mapservice and see if the labeling issue still occurs? This might be a good way to test changes to labels in the mxd against the aerial photos without continually republishing your mapservice.