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Government Shutdown Effects on U.S. Immigration
On October 1, 2025, the federal government shutdown due to a failure to reach an agreement on a budget for the upcoming year. A government shutdown impacts certain immigration services and agencies, while some functions continue with limited interruption. See below for how each agency is impacted.
U.S. Citizenship & Immigration Services: USCIS remains open during a shutdown because it is primarily user fee funded. Therefore, processing of petitions and applications at USCIS is expected to continue uninterrupted. However, applications that depend on a certified Labor Condition Application (LCA), such as the H-1B and E-3, may not be able to proceed if an LCA was not certified prior to the shutdown
Historically, USCIS has provided some flexibility in instances where it was not possible to obtain a certified LCA. To date, however, no such exemption has been announced.
Department of Labor: DOL ceases all immigration-related processing and will neither accept nor process any applications or materials relating to LCAs, Prevailing Wage Determinations, or Applications for Permanent Employment Certification (i.e. the PERM system). We anticipate receiving future guidance on these issues and will continue to provide updates as they become available.
Department of State: DOS will continue to issue visas, and related Consular operations will remain operational for the present time. However, DOS has indicated that if current funds are exhausted, Consular services may be affected.
Customs & Border Protection: CBP remains operational as inspection and enforcement functions are considered essential. Individuals entering the U.S. with a valid visa should not encounter any issues at airports or land border crossings, and the electronic I-94 retrieval system is operational. However, as there may be reduced staffing may cause slower adjudication of visa applications at the border.
E-Verify: The E-Verify system is unavailable during the government shutdown. As a result, E-Verify employers will not be able to verify employment eligibility or take any other action that requires access to an E-Verify account. The three-day rule for E-Verify cases is suspended, and the time period during which employees may resolve Tentative Nonconfirmations will be extended.
Employers are not permitted to take any adverse action against an employee whose query is in an extended interim case status due to the government shutdown. Note, the I-9 completion obligation remains in effect and employers will need to submit E-Verify cases retroactively once the system is restored.
These developments underscore the ongoing impact of U.S. immigration policy, with the potential for significant legal and economic ramifications for affected communities. Moore & Van Allen is closely monitoring these developments as they unfold.
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