Department of Homeland Security - Partial Shutdown & How it Impacts Employers

Partial DHS Shutdown: What Businesses and Employers Need to Know

Funding for the Department of Homeland Security (DHS) lapsed on February 14, 2026, triggering a partial government shutdown affecting only DHS agencies. Unlike the 43-day full government shutdown last fall, this shutdown is narrowly confined and is not expected to have immediate broad impacts on the public. The rest of the federal government, including the IRS, Department of Labor, and Department of Justice, remains fully operational.

ICE and CBP Will Continue Operating

ICE (U.S. Immigration and Customs Enforcement) and CBP (U.S. Customs and Border Protection) will continue to perform its primary enforcement functions without significant interruption. Approximately 93% of ICE and CBP employees are designated as essential workers and will remain on the job during the lapse. We expect these agencies to operate at similar capacity as during the 43-day shutdown last October, with immigration enforcement, removal operations, and border wall construction continuing uninterrupted. Further, both agencies received substantial funding through the "One Big Beautiful Bill Act" signed into law last summer. This funding allows them to continue immigration enforcement operations, removals, and border security activities regardless of the current shutdown. Businesses should expect DHS to continue issuing Notices of Inspection (NOIs) during this time; however, DHS has been processing a backlog from last year.

USCIS Will Also Continue Operating

U.S. Citizenship and Immigration Services (USCIS) is also unlikely to see significant interruption. USCIS is funded primarily by application and filing fees rather than annual appropriations. This means businesses should expect visa petitions, work authorizations, and other immigration applications to continue being processed during the shutdown.

Which DHS Agencies Are Affected?

While ICE, CBP, and USCIS will largely continue normal operations, other DHS components will feel the effects. Agencies such as TSA, FEMA, the Coast Guard, Secret Service, and the Cybersecurity and Infrastructure Security Agency (CISA) will continue to operate but are unlikely to be paying their employees while the shutdown persists. Air travel may see minor disruptions if the shutdown extends several weeks, and businesses relying on FEMA grants may experience delays. Businesses and professionals should prepare for travel delays in March around spring break.

We will continue to monitor developments and provide updates as negotiations in Washington progress.