What the Impending Government Shutdown Means for Immigration Redux

As of September 30, 2025, Congress has yet to pass essential spending bills to keep the federal government running beyond September 30, 2025. If these bills are not approved, a government shutdown is imminent starting October 1, 2025, with significant consequences for many federal agencies — including those involved in immigration case processing.

For employers relying on a foreign workforce or immigration-related processes, understanding the potential impacts is crucial to avoid surprises and plan accordingly. Here’s a detailed breakdown of what to expect from key immigration-related agencies during a shutdown:

USCIS (U.S. Citizenship and Immigration Services)

USCIS operates primarily on fee revenues rather than taxpayer funds. Because of this, the agency will largely remain open during a shutdown, continuing most immigration case processing. However, some smaller programs that depend on appropriated funds might see a temporary halt.

U.S. Department of State (DOS)

DOS manages visa operations at U.S. consulates worldwide. As these functions are fee-supported, visa and passport processing generally continues uninterrupted during a shutdown, minimizing disruption for international travel and visa issuance.

U.S. Department of Labor (DOL)

The Department of Labor is expected to be heavily affected during a shutdown. Key processes such as Labor Condition Applications, Prevailing Wage Determinations, and Permanent Employment Certification (PERM) applications will stop. New applications cannot be accepted, and online systems may go offline. Employers may still mail in applications, but processing or acceptance may be delayed due to unavailable staff.

U.S. Customs and Border Protection (CBP)

CBP is deemed essential; therefore, inspecting travelers and enforcing laws at the border will continue. However, immigration application processing services at the border—such as for TN visas—may be delayed or disrupted.

Immigration and Customs Enforcement (ICE)

ICE operations will continue through a shutdown. The Student and Exchange Visitor Program (SEVP), which manages international student monitoring, is fee-funded and expected to remain unaffected.

Executive Office for Immigration Review (EOIR)

Immigration courts face a divided fate: cases involving detained individuals will proceed, while non-detained cases are likely to be postponed and rescheduled when the shutdown ends.

What Employers Should Do Now

With these potential disruptions, employers relying on government immigration services could face slowed or halted processing for new and ongoing cases. This slowdown could impact workforce planning, new hires, and compliance.

Employers are strongly advised to consult with immigration counsel to discuss how these developments could affect their specific situations and to explore proactive measures to minimize the impact on their foreign national employee population.

The looming government shutdown presents unique challenges for immigration-related activities critical to employers and foreign workers alike. Staying informed and prepared during this uncertain period will help companies navigate potential delays with greater confidence.

This information reflects the guidance available as of now and may evolve. For specific legal advice or updates, please seek qualified immigration counsel promptly.