The excess labial tissue is resected as a triangle, removing the full thickness of the labia. The length of the free border is reduced. The edges are carefully sutured together. Asymmetry is common, so it is not unusual for me to remove more tissue on one side than the other. It is important to also repair the inner "stromal" layer of the labia, so as to maximize the strength of the repair.
This resection pattern does not place any important nerves at risk so there is no diminished sensation. It preserves the normal anatomy of the free margin of the labia.