Problem with Labels Overlapping and Blocking Text Fields

My issue is that when I interact with the text field, the label "Type your New Task here" moves up and gets covered by what looks like a white overlay. How can I fix this so that the label stays visible at all times?

Prior to engagement: https://i.stack.imgur.com/UsQwz.png

During engagement: https://i.stack.imgur.com/Ed322.png

I implemented the following code using material UI for styling:

<DialogTitle>Add New Task</DialogTitle>
    <DialogContent>
      <TextField
        autoFocus
        label={isEmpty ? "Task can't be empty" : "Type your New Task here"}
        fullWidth
        variant="outlined"
        value={todoName}
        inputRef={todoInput}
        onChange={(e) => {
          setTodoName(e.target.value.toLowerCase());
          setIsEmpty(false);
        }}
        InputProps={{
          style: { color: isEmpty ? warningColor : "initial" },
        }}
        InputLabelProps={{
          style: { color: isEmpty ? warningColor : "initial" },
        }}
        error={isEmpty}
      />
    </DialogContent>
    <DialogActions>
      <Button onClick={handleClose} color="primary">
        Cancel
      </Button>
      <Button
        onClick={addTodo}
        color="primary"
        disabled={isEmpty || isLoading}
      >
        Add
      </Button>
    </DialogActions>
  </Dialog>

I would appreciate any assistance on resolving this issue. Thank you.

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