U.S. Immigration Alerts

U.S. Government Faces Another Partial Shutdown After January 30, 2026

The deal that ended the government shutdown only provided funding for the covered federal agencies through January 30, 2026.  House Speaker Johnson (R-LA), Senate Majority Leader Thune (R-SD) have not yet advanced spending proposals to provide funding beyond that date.  

Senator Thune had hoped to offer a proposal that could secure unanimous consent and be brought up for a vote before Christmas, but he said earlier this week that this plan had hit delays because of objections from some individuals senators. This pushes everything into January which is not surprising as Congress has often passed the funding measures at the eleventh hour. 

This said, the federal government is looking at another partial shutdown If Congress fails to pass a funding measure that President Trump signs before January 30, 2026. 

Key Points

• Continuing Resolution Deadline: Congress has approved a continuing resolution to fund most federal agencies only through January 30, 2026. If lawmakers do not agree on full appropriations by then, another government funding lapse is possible.   
• Recent Shutdown Context: A prior federal shutdown occurred from October 1 to November 12, 2025, making it the longest since records began, and ended only after a continuing resolution providing temporary funding for most federal agencies passed Congress. The continuing resolution included full year funding for a few government bodies including the Department of Agriculture, Department of Veterans Affairs and the Legislative branch.
• Legislative Stalemate: Neither the House of Representatives nor the Senate have taken up proposals yet to address the issue of the expiring subsidies for the Affordable Care Act (ACA) which were a major reason for the impasse that led to the last shutdown. 
• USCIS Operations During a Shutdown: USCIS is primarily fee-funded and would likely continue processing most petitions and applications during a shutdown. However, supporting functions, interagency coordination, and adjudications requiring other agencies may experience delays.
• Department of State (DOS) Visa Processing: Consular visa processing abroad may continue if fee balances remain sufficient, but staffing shortages or reduced operations could slow interviews and visa issuance. Posts with limited resources are more likely to experience interruptions.
• Department of Labor (DOL) Vulnerabilities: Immigration programs that rely on DOL appropriated funding, such as PERM labor certifications, prevailing wage determinations, and Labor Condition Application oversight, are particularly vulnerable to shutdown impacts. These processes may pause entirely during a funding lapse.
• Immigration Courts and Enforcement Functions: Immigration courts, which are not fee-funded, have historically reduced hearings or postponed non-detained cases during shutdowns. Enforcement-related functions may continue, but court backlogs tend to increase.
• Cumulative Backlog Effects: Even short shutdowns can produce lasting effects on immigration timelines by increasing adjudication backlogs. These delays often persist well beyond the resumption of normal government operations.

What US Employers Need to Know 

• Hiring and Start-Date Planning: Employers sponsoring foreign nationals should anticipate possible delays in visa issuance, work authorization approvals, or consular appointments if a shutdown occurs. Start dates for new hires may need additional flexibility.
• PERM and Labor Certification Risks: Employers pursuing permanent residence through PERM should be aware that Department of Labor (DOL) functions may halt entirely during a shutdown. This can affect recruitment timelines, filing windows, and overall green card strategy.
• Nonimmigrant Visa Extensions and Changes: While USCIS may continue processing H-1B, L-1, O-1, and other petitions, cases requiring input from DOL or DOS may stall. Employers should factor in the risk of downstream delays when planning extensions or amendments.
• Travel and Visa Stamping Considerations: Employees traveling abroad during periods of funding uncertainty may face longer wait times for visa stamping or administrative processing. Employers should assess travel necessity and timing carefully.
• Compliance and Workforce Continuity: Employers must continue to comply with Form I-9, E-Verify, and work authorization requirements regardless of a shutdown. Advance planning can help avoid lapses in employment authorization due to delayed approvals.
• Monitoring Agency Guidance: Immigration agencies typically issue shutdown-specific operational notices outlining which services will continue. Employers should monitor official updates closely and coordinate with immigration counsel as conditions evolve.

Looking Ahead

Although the U.S. Congress will remain stalemated through the end of the calendar year, neither Republicans nor Democrats desire another crippling government shutdown. Therefore, we anticipate that there will be greater effort in the new year to reach a compromise before the January 30, 2026, deadline and that if there is a shutdown the expectation is that it will be short-lived. However, US employers should prepare anyways in the event that the budgetary impasse is not resolved before the deadline. Fakhoury Global Immigration is monitoring these developments carefully and will provide updates as they occur. 

The content of this article is intended only to provide a general guide to the subject matter. It should not be construed as legal advice. Please contact FGI at info@employmentimmigration.com or (+1) 248.643.4900 for guidance if you have specific questions.