Congress failed to prevent a federal government shutdown, leaving HR departments and employers facing significant operational challenges. This shutdown follows the Republican majority’s short-term spending proposal to fund the government through November, which did not pass, according to the Associated Press.

HR professionals with experience in previous administrations recall the 2018 shutdown, which lasted five weeks and caused roughly $3 billion in lost GDP. Current disruptions threaten payroll, compliance, and workforce management across federal agencies.

Immigration Filings and E-Verify Paused

Although U.S. Citizenship and Immigration Services (USCIS) is fee-funded and remains operational for most filings, the Department of Labor will halt foreign labor certification applications. As Labor Condition Applications (LCAs) are required for non-immigrant visas, employers may face delays in visa processing.

Moreover, E-Verify is expected to be “completely unavailable,” preventing employers from accessing accounts, running reports, or managing cases. Employers must still complete Form I-9s and comply with verification rules. Once the system is restored, HR teams should process any pending E-Verify inquiries.

Meanwhile, DHS will continue essential functions, including law enforcement and port-of-entry operations. Most ICE personnel are expected to remain active during the shutdown.

EEOC Pauses Investigations and Litigation

The U.S. Equal Employment Opportunity Commission (EEOC) will suspend public correspondence and charge investigations during the shutdown. Mediations are canceled, and litigation in federal courts may be paused if courts grant extensions.

However, new private sector charges may still be docketed, and urgent cases protecting life or property will proceed. Lawyers anticipate monthslong backlogs for charges filed during the shutdown.

DOL Wage and Hour Enforcement Limited

The Department of Labor’s Wage and Hour Division will operate with only 10 of 1,270 staff. Regulatory work stops, and enforcement focuses solely on life-safety or property-related emergencies. Ongoing investigations are likely paused, mirroring previous shutdown impacts.

NLRB Operations and Union Cases Delayed

The National Labor Relations Board (NLRB), already lacking a quorum before the shutdown, will see day-to-day operations stall. Case processing, union elections, and unfair labor practice investigations will slow, creating backlogs. Employers should not delay responding to petitions despite temporary extensions.

HR Departments Brace for Disruption

Even a short shutdown could impact 25% of organizations and threaten 23% of annual financial goals, according to Emily Dickens, SHRM Chief of Staff. HR teams will need to manage furloughs, adjust payroll, and address employee concerns amid uncertainty.

“Congress and the administration must reach an agreement to prevent avoidable disruption,” Dickens said. “HR professionals, workers, and families deserve stability and certainty.”

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News Source: Hrdive.com