diff --git a/.changeset/pretty-poets-appear.md b/.changeset/pretty-poets-appear.md
new file mode 100644
index 00000000000..884ca3d9d92
--- /dev/null
+++ b/.changeset/pretty-poets-appear.md
@@ -0,0 +1,6 @@
+---
+"@salt-ds/lab": minor
+---
+
+- Removed `onClose` prop from `PillNext`. PillNext has been updated to support only one action. The `onClick`prop can be used instead.
+- Remove `icon` prop from `PillNext`. An icon can be added as a children instead.
diff --git a/packages/lab/src/__tests__/__e2e__/pill-next/PillNext.cy.tsx b/packages/lab/src/__tests__/__e2e__/pill-next/PillNext.cy.tsx
index d40276f8a08..8f57b633d9e 100644
--- a/packages/lab/src/__tests__/__e2e__/pill-next/PillNext.cy.tsx
+++ b/packages/lab/src/__tests__/__e2e__/pill-next/PillNext.cy.tsx
@@ -1,5 +1,4 @@
 import { PillNext } from "../../../pill-next";
-import { CallIcon } from "@salt-ds/icons";
 
 describe("GIVEN a Pill", () => {
   it("THEN should render a `standard` Pill", () => {
@@ -50,54 +49,6 @@ describe("GIVEN a Pill", () => {
     });
   });
 
-  describe("GIVEN an icon prop", () => {
-    it("THEN should render an icon given icon component", () => {
-      cy.mount(<PillNext icon={<CallIcon />}>label</PillNext>);
-      cy.findByTestId(/CallIcon/i).should("exist");
-    });
-  });
-
-  describe("GIVEN a closable pill", () => {
-    it("THEN should not trigger close by clicking the pill", () => {
-      const clickSpy = cy.stub().as("clickSpy");
-      const closeSpy = cy.stub().as("closeSpy");
-      cy.mount(
-        <PillNext onClick={clickSpy} onClose={closeSpy}>
-          Closable Pill
-        </PillNext>
-      );
-      cy.findByTestId("pill").realClick();
-      cy.get("@clickSpy").should("have.callCount", 1);
-      cy.get("@closeSpy").should("have.callCount", 0);
-    });
-    it("THEN should close the pill on clicking the close button", () => {
-      const clickSpy = cy.stub().as("clickSpy");
-      const closeSpy = cy.stub().as("closeSpy");
-      cy.mount(
-        <PillNext onClick={clickSpy} onClose={closeSpy}>
-          Closable Pill
-        </PillNext>
-      );
-      cy.findByTestId("pill-close-button").realClick();
-      cy.get("@clickSpy").should("have.callCount", 0);
-      cy.get("@closeSpy").should("have.callCount", 1);
-    });
-    it("THEN should close on enter", () => {
-      const closeSpy = cy.stub().as("closeSpy");
-      cy.mount(<PillNext onClose={closeSpy}>Closable Pill</PillNext>);
-      cy.findByTestId("pill-close-button").focus();
-      cy.realPress("Enter");
-      cy.get("@closeSpy").should("have.callCount", 1);
-    });
-    it("THEN should close on space", () => {
-      const closeSpy = cy.stub().as("closeSpy");
-      cy.mount(<PillNext onClose={closeSpy}>Closable Pill</PillNext>);
-      cy.findByTestId("pill-close-button").focus();
-      cy.realPress(" ");
-      cy.get("@closeSpy").should("have.callCount", 1);
-    });
-  });
-
   it("SHOULD have no a11y violations on load", () => {
     const clickSpy = cy.stub().as("clickSpy");
     cy.mount(<PillNext onClick={clickSpy}>Pill</PillNext>);
diff --git a/packages/lab/src/pill-next/PillNext.css b/packages/lab/src/pill-next/PillNext.css
index 65a72a9763a..730ddd17cfd 100644
--- a/packages/lab/src/pill-next/PillNext.css
+++ b/packages/lab/src/pill-next/PillNext.css
@@ -1,27 +1,9 @@
 /* Styles applied to the root element */
-
 .saltPillNext {
-  display: flex;
-  max-width: 100%;
-}
-
-.saltPillNext-action {
-  --pillNext-background: var(--salt-actionable-primary-background);
-  --pillNext-background-active: var(--salt-actionable-primary-background-active);
-  --pillNext-background-disabled: var(--salt-actionable-primary-background-disabled);
-  --pillNext-background-hover: var(--salt-actionable-primary-background-hover);
-  --pillNext-text-color: var(--salt-actionable-primary-foreground);
-  --pillNext-text-color-active: var(--salt-actionable-primary-foreground-active);
-  --pillNext-text-color-hover: var(--salt-actionable-primary-foreground-hover);
-  --pillNext-text-color-disabled: var(--salt-actionable-primary-foreground-disabled);
-}
-
-.saltPillNext-action {
   appearance: none;
-  -webkit-appearance: none;
   display: inline-flex;
   align-items: center;
-  background: var(--pillNext-background);
+  background: var(--saltPillNext-background, var(--salt-actionable-primary-background));
   border-radius: 0;
   border: 0;
   height: calc(var(--salt-size-base) - var(--salt-spacing-100));
@@ -31,64 +13,41 @@
   gap: var(--salt-spacing-50);
   padding-left: var(--salt-spacing-50);
   padding-right: var(--salt-spacing-50);
-  color: var(--pillNext-text-color);
+  color: var(--saltPillNext-color, var(--salt-actionable-primary-foreground));
   font-family: var(--salt-text-fontFamily);
   font-size: var(--salt-text-fontSize);
   font-weight: var(--salt-text-fontWeight);
   line-height: var(--salt-text-lineHeight);
-}
-
-.saltPillNext-label {
-  min-width: 0;
   overflow: hidden;
-  text-overflow: ellipsis;
   white-space: nowrap;
 }
 
-.saltPillNext-close-button {
-  --saltButton-height: calc(var(--salt-size-base) - var(--salt-spacing-100));
-  --saltButton-padding: var(--salt-spacing-50);
-}
-
-/* Style applied to Pill if `onClick` prop is provided  */
+/* Style applied to Pill if pill is clickable  */
 .saltPillNext-clickable {
   cursor: var(--salt-selectable-cursor-hover);
 }
 
 .saltPillNext-clickable:hover,
 .saltPillNext-clickable:focus-visible {
-  color: var(--pillNext-text-color-hover);
-  background: var(--pillNext-background-hover);
-}
-
-.saltPillNext-clickable.saltPillNext-disabled:hover {
-  color: var(--pillNext-text-color);
-  background: var(--pillNext-background);
+  color: var(--salt-actionable-primary-foreground-hover);
+  background: var(--salt-actionable-primary-background-hover);
 }
 
 .saltPillNext-clickable.saltPillNext-active,
 .saltPillNext-clickable:active {
-  background: var(--pillNext-background-active);
-  color: var(--pillNext-text-color-active);
-}
-
-.saltPillNext-clickable.saltPillNext-disabled.saltPillNext-active,
-.saltPillNext-clickable.saltPillNext-disabled:active {
-  background: var(--pillNext-background);
-  color: var(--pillNext-text-color);
+  background: var(--salt-actionable-primary-background-active);
+  color: var(--salt-actionable-primary-foreground-active);
 }
 
 /* Style applied to Pill on focus */
-.saltPillNext-action:focus-visible {
+.saltPillNext:focus-visible {
   outline: var(--salt-focused-outline);
-  /* increase index by one so the focus ring sits on top of the sibling button */
-  z-index: var(--salt-zIndex-default);
 }
 
 /* Style applied to Pill when disabled */
-.saltPillNext-action.saltPillNext-disabled,
-.saltPillNext-action.saltPillNext-disabled:hover {
-  color: var(--pillNext-text-color-disabled);
-  background: var(--pillNext-background-disabled);
+.saltPillNext:disabled,
+.saltPillNext:disabled:hover {
+  color: var(--salt-actionable-primary-foreground-disabled);
+  background: var(--salt-actionable-primary-background-disabled);
   cursor: var(--salt-selectable-cursor-disabled);
 }
diff --git a/packages/lab/src/pill-next/PillNext.tsx b/packages/lab/src/pill-next/PillNext.tsx
index e8aaf4fe9e1..2d286d0878c 100644
--- a/packages/lab/src/pill-next/PillNext.tsx
+++ b/packages/lab/src/pill-next/PillNext.tsx
@@ -1,24 +1,27 @@
-import { forwardRef, ComponentPropsWithoutRef, MouseEvent } from "react";
+import { forwardRef, ComponentPropsWithoutRef } from "react";
 import clsx from "clsx";
 import { useWindow } from "@salt-ds/window";
 import { useComponentCssInjection } from "@salt-ds/styles";
-import { Button, makePrefixer, useButton } from "@salt-ds/core";
+import { makePrefixer, useButton } from "@salt-ds/core";
 import pillCss from "./PillNext.css";
-import { CloseIcon } from "@salt-ds/icons";
-
-export interface PillNextProps extends ComponentPropsWithoutRef<"button"> {
-  /* If true the pill will be disabled */
-  disabled?: boolean;
-  onClose?: (event: MouseEvent<HTMLButtonElement>) => void;
-  /* Pass an element to render an icon descriptor on the left of the label */
-  icon?: React.ReactNode;
-}
 
 const withBaseName = makePrefixer("saltPillNext");
 
+/* eslint-disable @typescript-eslint/no-empty-interface */
+export interface PillNextProps extends ComponentPropsWithoutRef<"button"> {}
+
 export const PillNext = forwardRef<HTMLButtonElement, PillNextProps>(
   function PillNext(
-    { children, className, icon, disabled, onClose, ...restProps },
+    {
+      children,
+      className,
+      disabled,
+      onKeyUp,
+      onKeyDown,
+      onClick,
+      onBlur,
+      ...rest
+    },
     ref
   ) {
     const targetWindow = useWindow();
@@ -29,39 +32,30 @@ export const PillNext = forwardRef<HTMLButtonElement, PillNextProps>(
     });
     const { buttonProps, active } = useButton<HTMLButtonElement>({
       disabled,
-      ...restProps,
+      onKeyUp,
+      onKeyDown,
+      onClick,
+      onBlur,
     });
     // we do not want to spread tab index in this case because the button element
     // does not require tabindex="0" attribute
     // eslint-disable-next-line @typescript-eslint/no-unused-vars
     const { tabIndex, ...restButtonProps } = buttonProps;
-
     return (
-      <div className={clsx(withBaseName(), className)}>
-        <button
-          data-testid="pill"
-          ref={ref}
-          className={clsx(withBaseName("action"), withBaseName("clickable"), {
-            [withBaseName("active")]: active,
-            [withBaseName("disabled")]: disabled,
-          })}
-          {...restButtonProps}
-          {...restProps}
-        >
-          {icon}
-          <span className={withBaseName("label")}>{children}</span>
-        </button>
-        {onClose && (
-          <Button
-            data-testid="pill-close-button"
-            className={withBaseName("close-button")}
-            disabled={disabled}
-            onClick={onClose}
-          >
-            <CloseIcon />
-          </Button>
+      <button
+        data-testid="pill"
+        ref={ref}
+        className={clsx(
+          withBaseName(),
+          withBaseName("clickable"),
+          { [withBaseName("active")]: active },
+          className
         )}
-      </div>
+        {...restButtonProps}
+        {...rest}
+      >
+        {children}
+      </button>
     );
   }
 );
diff --git a/packages/lab/stories/pill-next/pill-next.qa.stories.tsx b/packages/lab/stories/pill-next/pill-next.qa.stories.tsx
index 97b570165bc..c71a3e37156 100644
--- a/packages/lab/stories/pill-next/pill-next.qa.stories.tsx
+++ b/packages/lab/stories/pill-next/pill-next.qa.stories.tsx
@@ -20,14 +20,8 @@ export const ExamplesGrid: StoryFn<QAContainerProps> = (props) => {
       <PillNext className={className} onClick={noop} disabled>
         Disabled Pill
       </PillNext>
-      <PillNext className={className} icon={<FavoriteIcon />} onClick={noop}>
-        With Icon Pill
-      </PillNext>
-      <PillNext onClose={noop} className={className}>
-        Closable Pill
-      </PillNext>
-      <PillNext onClick={noop} className={className}>
-        Extra extra long Pill label example.
+      <PillNext className={className} onClick={noop}>
+        <FavoriteIcon /> With Icon Pill
       </PillNext>
     </QAContainer>
   );
diff --git a/packages/lab/stories/pill-next/pill-next.stories.tsx b/packages/lab/stories/pill-next/pill-next.stories.tsx
index 97648411424..8712f47926a 100644
--- a/packages/lab/stories/pill-next/pill-next.stories.tsx
+++ b/packages/lab/stories/pill-next/pill-next.stories.tsx
@@ -1,9 +1,9 @@
 import { PillNext } from "@salt-ds/lab";
-import { FavoriteIcon } from "@salt-ds/icons";
+import { CloseIcon, FavoriteIcon } from "@salt-ds/icons";
 import { Meta, StoryFn } from "@storybook/react";
-import { ChangeEvent, Ref, useEffect, useRef, useState } from "react";
+import { useState } from "react";
 import { shortColorData } from "./../assets/exampleData";
-import { Button, FlowLayout, Input, StackLayout, Tooltip } from "@salt-ds/core";
+import { Button, FlowLayout } from "@salt-ds/core";
 
 export default {
   title: "Lab/Pill Next",
@@ -48,10 +48,9 @@ export const Closable: StoryFn<typeof PillNext> = () => {
         <PillNext
           key={color}
           disabled={index < 3}
-          onClick={() => console.log(`Clicked ${color}`)}
-          onClose={() => removeColor(color)}
+          onClick={() => removeColor(color)}
         >
-          {color}
+          {color} <CloseIcon />
         </PillNext>
       ))}
     </FlowLayout>
@@ -60,42 +59,8 @@ export const Closable: StoryFn<typeof PillNext> = () => {
 
 export const Icon: StoryFn<typeof PillNext> = () => {
   return (
-    <PillNext icon={<FavoriteIcon />} onClick={() => console.log("Clicked.")}>
-      Pill with Icon
+    <PillNext onClick={() => console.log("Clicked.")}>
+      <FavoriteIcon /> Pill with Icon
     </PillNext>
   );
 };
-
-export const Truncated: StoryFn<typeof PillNext> = () => {
-  const pillRef = useRef<HTMLButtonElement | null>(null);
-  const [maxWidth, setMaxWidth] = useState<string>("150");
-  const [isEllipsisActive, setEllipsisActive] = useState(false);
-
-  useEffect(() => {
-    const text = pillRef?.current?.firstElementChild as HTMLElement;
-    setEllipsisActive(text?.offsetWidth < text?.scrollWidth);
-  }, [maxWidth]);
-
-  const content = "Lorem ipsum dolor sit amet, consectetur adipiscing elit.";
-
-  return (
-    <StackLayout direction={"column"}>
-      <Input
-        inputProps={{ type: "number", step: 50 }}
-        style={{ maxWidth: "150px" }}
-        defaultValue={maxWidth}
-        onChange={(event: ChangeEvent<HTMLInputElement>) =>
-          setMaxWidth(event.target.value)
-        }
-      />
-      <Tooltip content={content} disabled={!isEllipsisActive}>
-        <PillNext
-          ref={pillRef as Ref<HTMLButtonElement>}
-          style={{ maxWidth: `${maxWidth}px` }}
-        >
-          {content}
-        </PillNext>
-      </Tooltip>
-    </StackLayout>
-  );
-};
diff --git a/site/docs/components/pill/accessibility.mdx b/site/docs/components/pill/accessibility.mdx
index 12fdbc4431b..5a99479b629 100644
--- a/site/docs/components/pill/accessibility.mdx
+++ b/site/docs/components/pill/accessibility.mdx
@@ -12,18 +12,15 @@ data:
 <KeyboardControls>
   <KeyboardControl keyOrCombos="Enter / Space">
     - When focus is on the pill, this action activates it.
-    - When focus is on the close button, this action closes the pill.
   </KeyboardControl>
   <KeyboardControl keyOrCombos="Tab">
 
     - Tab sets focus on the entire pill.
     - When the pill has focus, Tab moves focus out of the pill to next component in tab order.
-    - When a closable pill has focus, Tab moves focus into the close button.
 
   </KeyboardControl>
   <KeyboardControl keyOrCombos="Shift + Tab">
     - When the pill has focus, this action moves focus out of the pill to the previous component in the tab
     order.
-    - When the close button has focus, this action moves focus back to the pill.
   </KeyboardControl>
 </KeyboardControls>
diff --git a/site/docs/components/pill/examples.mdx b/site/docs/components/pill/examples.mdx
index 397bb61f2f7..f006e25ec0f 100644
--- a/site/docs/components/pill/examples.mdx
+++ b/site/docs/components/pill/examples.mdx
@@ -35,12 +35,5 @@ data:
 
     The closable pill represents a value selected via another mechanism, and which the user can remove within the pill. It can appear on its own, such as alongside a complex filter panel, or within an input control such as [`ComboBox`](../combo-box).
 
-  </LivePreview> 
-  <LivePreview componentName="pill" exampleName="Closable">
-  
-    ### Closable
-
-    The closable pill represents a value selected via another mechanism, and which the user can remove within the pill. It can appear on its own, such as alongside a complex filter panel, or within an input control such as [`ComboBox`](../combo-box).
-
   </LivePreview>
 </LivePreviewControls>
diff --git a/site/docs/components/pill/index.mdx b/site/docs/components/pill/index.mdx
index ad7ed03194b..6edb0422b7d 100644
--- a/site/docs/components/pill/index.mdx
+++ b/site/docs/components/pill/index.mdx
@@ -10,7 +10,6 @@ data:
     [
       { name: "Button", relationship: "similarTo" },
       { name: "Toggle button", relationship: "similarTo" },
-      { name: "Icon", relationship: "contains" },
     ]
   stickerSheet: ""
 layout: DetailComponent
diff --git a/site/src/examples/pill/Closable.tsx b/site/src/examples/pill/Closable.tsx
index f58eda816ee..29fd4967234 100644
--- a/site/src/examples/pill/Closable.tsx
+++ b/site/src/examples/pill/Closable.tsx
@@ -1,10 +1,13 @@
 import { ReactElement } from "react";
 import { PillNext } from "@salt-ds/lab";
+import { CloseIcon } from "@salt-ds/icons";
 
 const handleClose = () => {
   console.log("closed");
 };
 
 export const Closable = (): ReactElement => (
-  <PillNext onClose={handleClose}>Closable Pill</PillNext>
+  <PillNext onClick={handleClose}>
+    Closable Pill <CloseIcon />
+  </PillNext>
 );
diff --git a/site/src/examples/pill/Icon.tsx b/site/src/examples/pill/Icon.tsx
index 264e7c769ae..9363de9e554 100644
--- a/site/src/examples/pill/Icon.tsx
+++ b/site/src/examples/pill/Icon.tsx
@@ -7,7 +7,7 @@ const handleClick = () => {
 };
 
 export const Icon = (): ReactElement => (
-  <PillNext icon={<FavoriteIcon />} onClick={handleClick}>
-    Pill with Icon
+  <PillNext onClick={handleClick}>
+    <FavoriteIcon /> Pill with Icon
   </PillNext>
 );