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Friday, November 21, 2025

The Watchdogs Go to Sleep; How the Government Shutdown Affects Labor Agencies - The National Law Review

As has been widely publicized in the general and social media, on October 1, 2025, the U.S. federal government officially entered a shutdown of the 2026 fiscal year due to Congress’ failure to authorize continuing appropriations. Even in a funding gap shutdown, some essential governmental activities — especially those related to health and safety matters — continue, albeit in a more limited fashion. Here is a summary of how the shutdown has affected the agencies that most directly impact employment-related matters.

Department of Labor (DOL):

Wage and Hour Division (WHD): Most regulatory and enforcement activities have ceased, except for those involving health and safety (e.g., child labor violations). Only 10 out of a pre-shutdown total of 1,270 employees remain active. Standard investigations, compliance audits, and technical assistance are paused.

Occupational Safety and Health Administration (OSHA): Operations are limited to critical functions, such as: inspections of imminent danger situations; investigations of workplace fatalities and catastrophes; enforcement actions needed to meet statutory deadlines for citations; and follow-up inspections of serious violations. OSHA’s adjudicatory body, the Occupational Safety and Health Review Commission (OSHRC), is closed, delaying hearings and settlements.

Foreign Labor Certification: The Foreign Labor Application Gateway (FLAG) system is offline, halting Labor Condition Applications (LCAs) and PERM processing, which are...



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