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United States: Preparing for a Possible October 1 Federal Government Shutdown

September 16, 2025

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At a glance

  • If Congress is unable to pass an appropriations bill or a stopgap spending measure by September 30, some immigration functions will be suspended in a federal shutdown.
  • A shutdown would mean that Department of Labor immigration functions such as LCA, prevailing wage, and PERM processing would be suspended until Congress passes a stopgap spending measure or a FY 2026 budget.
  • Fee-based immigration processing – including USCIS benefit and State Department visa and passport processing – would generally continue, though with potential delays if a shutdown is lengthy. However, the USCIS E-Verify, EB-4 non-minister religious worker, and Conrad 30 programs would expire if Congress fails to extend them.
  • Although a federal government shutdown may be averted, employers and foreign nationals should be prepared for the possibility.

The issue

With government funding set to expire at the end of the fiscal year on September 30, a partial government shutdown is possible if agreement on an appropriations bill or a temporary stopgap measure cannot be reached by that date.

A closer look

Should a shutdown occur on October 1, the following would be the expected impact on immigration operations, based on prior shutdowns in previous years.

Department of Labor (DOL): DOL immigration functions would likely be suspended as non-essential functions. No PERM or temporary labor certification applications, labor condition applications (LCAs), or prevailing wage requests would be processed. Online application systems would be taken offline and would not accept PERM applications or audit responses, LCAs, or prevailing wage requests. The agency would also be unable to accept submissions by mail.

U.S. Citizenship and Immigration Services (USCIS): As a fee-funded agency, USCIS would generally be expected to continue processing applications and petitions for immigration benefits, but processing delays could occur if adjudication of a case is dependent on support from government functions that are suspended – for example, a clearance from an agency that is affected by the shutdown. Appointments at USCIS local offices and Application Support Centers should not be affected by a shutdown. Because DOL LCA operations would be suspended, employers planning H-1B, E-3, or H-1B1 extensions or changes of employer – for which a DOL-certified LCA is required – may be unable to file if they do not already have an LCA in hand

Department of State: The State Department’s visa processing and U.S. citizenship document functions would not be suspended as long as filing fees remain available to fund consular operations. However, some domestic passport offices could be affected if they are located in federal buildings that are closed due to the shutdown. If a shutdown is lengthy and fee funding is depleted, the agency could suspend visa processing or limit it to emergency cases only

Customs and Border Protection (CBP): Inspection functions at U.S. borders and ports of entry would remain in operation. CBP would likely continue to process immigration applications at the border, such as applications for TN or initial blanket L status submitted by Canadian nationals.

Immigration and Customs Enforcement (ICE): ICE enforcement activities and operations of the Student and Exchange Visitor Information System (SEVIS) would continue.

E-Verify: Congressional authorization for E-Verify would expire if no legislation is passed. Employers would not be able to initiate E-Verify queries or resolve tentative non-confirmations, and would not be expected to meet the usual E-Verify deadlines until the program is reauthorized. However, employers must not take any adverse action against an employee whose employment eligibility verification cannot be confirmed in E-Verify due to a shutdown. During a shutdown, employers remain subject to Form I-9 obligations and deadlines as usual.

Conrad 30 Program: Congressional authorization for the Conrad 30 program would also expire without legislation by September 30.

SAVE System: SAVE is the USCIS database used by government agencies – including state motor vehicle departments – to verify an applicant’s immigration status when processing applications for benefits. SAVE is expected to remain in operation during a shutdown.

EB-4 non-minister religious worker program: The employment-based fourth preference immigrant visa category for non-minister religious workers would become unavailable if legislation fails to extend the category beyond September 30. If the program expires, the government would not be permitted to approve applications under the category until the program is revived.

What’s next

Over the next several days, Congress will be working to reach agreement on an appropriations bill or on a stopgap spending measure to avoid a partial government shutdown. Fragomen is following the budget debate closely and will issue further client alerts as developments occur. 

This alert is for informational purposes only. If you have any questions about the effect of a possible shutdown on your organization, please contact the immigration professional with whom you work at Fragomen.

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