I don't know that "the basic label implementation is wrong". For all I know - and you've not posted anything to indicate otherwise - the problem may be with your printer, its setup and/or drivers. A web search suggests the problems you're having are not common with the Avery 5160 label (most of the people having problems have issues with the vertical alignment (definitely a printer/driver issue), not the horizontal alignment).
Two more settings you should check are:
• that in the Zoom section of the File Print dialog, the Scale to paper size is set to No Scaling; and/or
• that the option for "Scale content for A4 or 8.5 x 11’ paper sizes", under File|Options|Advanced>Print is not checked. However, this shouldn't matter if you're using the correct page size in Word.
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Cheers,
Paul Edstein
[Fmr MS MVP - Word]
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