The U.S. Department of Labor has resumed processing major work visa applications after nearly a month-long suspension caused by the federal government shutdown. This move allows employers to once again submit petitions related to the H-1B, H-2A, and H-2B visa programs, as well as PERM applications for foreign workers seeking permanent residency.
The development marks a crucial step for U.S. industries reliant on specialized labor — particularly in technology, research, and medicine. The resumption followed the reopening of the Foreign Labor Application Gateway (FLAG) on October 31, the platform employers and immigration attorneys use to manage labor certification and prevailing wage requests. This process is a key preliminary step before filing H-1B petitions with the U.S. Citizenship and Immigration Services (USCIS).
According to Scott Bettridge, Head of Immigration at Cozen O’Connor, the shutdown had prevented employers and attorneys from submitting Labor Condition Applications (LCA), which are required before filing H-1B petitions. The disruption caused a major backlog, delayed start dates for many foreign workers, and even risked visa expirations for current holders.
Labor Department Restores Visa Processing System After Shutdown
The shutdown stemmed from a federal funding shortfall that restricted the Department of Labor’s operations — unlike USCIS, which is funded through user fees. While the Department did not directly cite the shutdown as the cause, experts widely agree it was the main factor behind the service suspension.
Kevin Lynn, Executive Director of the Institute for Public Policy and founder of U.S. Tech Workers, described the system’s restart as “the restoration of a disrupted administrative process” in a sector heavily dependent on such filings. However, he warned that this also means companies may resume “looking to South Asia for cheaper labor,” potentially increasing pressure on U.S. workers in an already tight labor market.
Although the Department’s announcement did not explicitly mention the H-1B program, reopening the FLAG portal effectively restores LCA processing, which underpins both H-1B and PERM applications. After obtaining an LCA — typically within 7–10 days — employers can proceed to file H-1B petitions with USCIS for skilled foreign workers.
Labor Department Fully Restores Visa Processing Amid Backlog Concerns
PERM applications remain a key step in confirming that hiring a foreign worker will not negatively affect qualified U.S. candidates and that offered wages meet prevailing standards. Once approved, companies may then file for permanent residency using Form I-140.
Despite the resumption, immigration experts caution that the backlog created by the shutdown will likely cause extended processing times, requiring employers to plan ahead and anticipate delays. Foreign employees with visas nearing expiration also face increased pressure to maintain valid work authorization.
Bettridge called the system’s restart a “critical and urgent step” for both employers and employees, while the Department confirmed that the system is now fully operational for new submissions and pending applications. Employers and legal representatives are advised to monitor official announcements and technical guidance from the Office of Foreign Labor Certification (OFLC) for any further procedural updates.