diff --git a/pkg/reconciler/v1alpha1/eventlistener/eventlistener.go b/pkg/reconciler/v1alpha1/eventlistener/eventlistener.go
index 7f21f8409..34261a786 100644
--- a/pkg/reconciler/v1alpha1/eventlistener/eventlistener.go
+++ b/pkg/reconciler/v1alpha1/eventlistener/eventlistener.go
@@ -175,7 +175,7 @@ func (c *Reconciler) reconcileService(el *v1alpha1.EventListener) error {
 	service := &corev1.Service{
 		ObjectMeta: generateObjectMeta(el),
 		Spec: corev1.ServiceSpec{
-			Selector: mergeLabels(el.Labels, GenerateResourceLabels(el.Name)),
+			Selector: GenerateResourceLabels(el.Name),
 			Type:     el.Spec.ServiceType,
 			Ports: []corev1.ServicePort{
 				{
@@ -300,7 +300,7 @@ func (c *Reconciler) reconcileDeployment(el *v1alpha1.EventListener) error {
 		Spec: appsv1.DeploymentSpec{
 			Replicas: &replicas,
 			Selector: &metav1.LabelSelector{
-				MatchLabels: labels,
+				MatchLabels: GenerateResourceLabels(el.Name),
 			},
 			Template: corev1.PodTemplateSpec{
 				ObjectMeta: metav1.ObjectMeta{
diff --git a/pkg/reconciler/v1alpha1/eventlistener/eventlistener_test.go b/pkg/reconciler/v1alpha1/eventlistener/eventlistener_test.go
index 77108c029..7f4bda812 100644
--- a/pkg/reconciler/v1alpha1/eventlistener/eventlistener_test.go
+++ b/pkg/reconciler/v1alpha1/eventlistener/eventlistener_test.go
@@ -148,7 +148,7 @@ func Test_reconcileService(t *testing.T) {
 	}
 	service2 := service1.DeepCopy()
 	service2.Labels = mergeLabels(generatedLabels, updateLabel)
-	service2.Spec.Selector = mergeLabels(generatedLabels, updateLabel)
+	service2.Spec.Selector = generatedLabels
 
 	service3 := service1.DeepCopy()
 	service3.Spec.Ports[0].NodePort = 30000
@@ -344,7 +344,7 @@ func Test_reconcileDeployment(t *testing.T) {
 	// deployment 2 == initial deployment + labels from eventListener
 	deployment2 := deployment1.DeepCopy()
 	deployment2.Labels = mergeLabels(generatedLabels, updateLabel)
-	deployment2.Spec.Selector.MatchLabels = mergeLabels(generatedLabels, updateLabel)
+	deployment2.Spec.Selector.MatchLabels = generatedLabels
 	deployment2.Spec.Template.Labels = mergeLabels(generatedLabels, updateLabel)
 
 	// deployment 3 == initial deployment + updated replicas
@@ -604,7 +604,7 @@ func TestReconcile(t *testing.T) {
 
 	deployment2 := deployment1.DeepCopy()
 	deployment2.Labels = mergeLabels(updateLabel, generatedLabels)
-	deployment2.Spec.Selector.MatchLabels = mergeLabels(updateLabel, generatedLabels)
+	deployment2.Spec.Selector.MatchLabels = generatedLabels
 	deployment2.Spec.Template.Labels = mergeLabels(updateLabel, generatedLabels)
 
 	deployment3 := deployment2.DeepCopy()
@@ -630,7 +630,7 @@ func TestReconcile(t *testing.T) {
 
 	service2 := service1.DeepCopy()
 	service2.Labels = mergeLabels(updateLabel, generatedLabels)
-	service2.Spec.Selector = mergeLabels(updateLabel, generatedLabels)
+	service2.Spec.Selector = generatedLabels
 
 	service3 := service2.DeepCopy()
 	service3.Spec.Type = corev1.ServiceTypeNodePort
@@ -660,12 +660,16 @@ func TestReconcile(t *testing.T) {
 	}, {
 		name: "update-eventlistener-labels",
 		key:  reconcileKey,
+		// Resources before reconcile starts: EL has extra label that deployment/svc does not
 		startResources: test.Resources{
 			Namespaces:     []*corev1.Namespace{namespaceResource},
 			EventListeners: []*v1alpha1.EventListener{eventListener2},
 			Deployments:    []*appsv1.Deployment{deployment1},
 			Services:       []*corev1.Service{service1},
 		},
+		// We expect the deployment and services to propagate the extra label
+		// but the selectors in both Service and deployment should have the same
+		// label
 		endResources: test.Resources{
 			Namespaces:     []*corev1.Namespace{namespaceResource},
 			EventListeners: []*v1alpha1.EventListener{eventListener2},