Script Summary: Moves labels with unread conversations to top of "Labels" list in GMail.
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UPDATE:
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I haven't updated this script in about a year, and it doesn't seem to work anymore. Instead of me trying to fix my script, I'd send you to this script instead. It's the one I've been using for a while and it works great.
http://userscripts.org/scripts/show/24297
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This script moves any label that contains unread conversations to the top of the "Labels" list in GMail. I've got a ton of labels and I tend to filter them all straight to the label itself by skipping the inbox. I have to constantly scroll up and down the page to find out which labels have new (unread) items. I no longer need to do that with this script.
// RELEASE NOTES
// =============
// v2.0 (07/11/2009)
// * Updated to work with new GMail labels
//
// v1.1 (12/14/2007)
// * Added ability to control behavior through settings in script.
// * Added code to make unread count on labels appear in front of label instead of behind.
//
// v1.0 (11/25/2007)
// * Initial release of script.
//
//
// KNOWN ISSUES
// ============
// * Will not work in conjunction with Folders4Gmail.
// * Rewriting unread count on labels breaks the 'Go To Label' macro in Gmail Macros script which
// is included with the Better Gmail Firefox Addon.
//



