federal holidays

Federal holidays in the US are set by the United States Code. They apply mainly to federal government agencies and employees. Private‑sector employers are not required by federal law to close, give time off, or provide holiday pay on these days. Whether holiday pay or premium pay is offered depends on company policy, contracts, and any local laws that apply.

In this piece, we'll go over the list of US federal holidays and answer some commonly asked questions. We'll also include suggestions on how to make federal holidays part of your organization's DEI and time off policies.

US federal holidays 2026

Another federal holiday during an inauguration year

Inauguration Day is treated as a paid holiday for eligible federal employees in the Washington DC area. This happens every fourth year after 1965, on January 20 (or January 21 if the 20th falls on a Sunday). It applies only to employees in the specified DC area, and only when they would otherwise be scheduled to work that day.

There are usually 11 federal holidays every year, 12 if that year includes Inauguration Day.

When a federal holiday falls on a weekend

A few practical points to keep in mind:

• If a fixed-date holiday (like Christmas Day) falls on a Saturday, most federal employees get the "holiday on the day" before (Friday) as an observed holiday
• Inauguration Day is different: when it falls on a Saturday, there is no "in lieu of" holiday. Only employees scheduled to work in the DC area are excused that Saturday
• If the holiday falls on a Sunday, the observed holiday moves to Monday

That final point was strengthened by the Uniform Monday Holiday Act, which moved several holidays to Mondays. This resulted in three-day weekends, allowing workers to make plans ahead of time.

In New Zealand, a similar practice exists called Mondayisation. Find out more in this HRD New Zealand glossary entry on public holidays.

How common are paid holidays in the private sector?

Under the law, only covered federal employees have a right to paid time off on federal holidays.

For federal employees

Most full‑time federal employees receive paid holidays when they are excused from duty on a designated holiday.

If they must work, they may receive holiday premium pay under 5 U.S.C. 5546 and related regulations.

For private sector employees

The Fair Labor Standards Act (FLSA) does not require private employers to provide paid holidays, unpaid holidays, or premium pay for work on federal holidays.

In other words, federal holidays are not automatically "paid holidays" in the private sector. Whether employees receive pay, time off, or premium rates on a federal holiday is up to their employer.

From an HR perspective, many employers still choose to offer paid holidays because:

• candidates expect it as part of a competitive benefits package
• paid time off, including on major federal holidays, helps attract and retain employees
• a clear paid holidays schedule makes staffing and work schedule planning easier

When you document your policy, answer these questions:

• Which federal holidays does the company observe?
• Are they paid holidays for all employee groups or only for full‑time staff?
• What happens if an employee works on an observed federal holiday?
• Does the company close, stay open, or follow a reduced schedule?
• Do all states observe federal holidays?

Based on a 2018 survey by the Bureau of Labor Statistics (BLS), around 77 percent of civilian workers – which include private and state/government employees – received paid holidays. These employees had an average of eight paid holidays per year.

Do all states observe federal holidays?

State and local governments don't necessarily observe federal holidays, though most states recognize the same dates.

Key points for HR:

• States can create their own legal holidays that sit beside federal holidays
• Some states rename or replace certain federal holidays. For example, some have replaced Columbus Day with Indigenous Peoples' Day in their own statutes
• A state may add state-only holidays that matter for public employers, and sometimes for private employers, under state law

Private employers are not obligated to close on holidays or pay premium rates unless a state statute or local ordinance says so. However, you need to:

• Check state blue laws or other rules that may restrict business operations on Sundays or specific holidays
• Check any state rules about holiday pay, especially if you operate in retail, hospitality, or other covered sectors

Your handbook should have information on when state holidays affect your employees' work schedule.

Is MLK Day still a federal holiday?

Yes, the birthday of Martin Luther King Jr. is still a federal holiday under the United States Code. President Ronald Reagan signed the law that created this holiday in 1983. Any change to its status as one of the official federal holidays would require an act of Congress.

Recent news stories have created confusion because:

• the National Park Service removed MLK Day and Juneteenth from its list of fee-free days
• a president can use an executive order to adjust how federal agencies observe specific days in a given year. This does not change the legal status of any federal holiday in the United States Code

For HR professionals, the bottom line is:

• MLK Day is still one of the core federal holidays outlined in law
• federal offices are closed and mail does not run that day
• banks generally close because they follow the Federal Reserve schedule

As part of your company's holiday or time off policy, you may choose to:

• treat MLK Day as a paid holiday,
• keep operations open and offer regular pay, or
• offer a floating holiday that employees can use to mark MLK Day or another observance

Here's an example of how an organization uses floating holidays as part of their employee benefits package. Whatever you decide, document it and apply it consistently.

Is Juneteenth a federal holiday?

Yes. Juneteenth became a federal holiday in June 2021. Congress passed the Juneteenth National Independence Day Act and President Joe Biden signed it into law.

This date marks June 19, 1865 as the day when enslaved people in Galveston, Texas, were told that they were free. This happened more than two years after the Emancipation Proclamation.

Federal holidays, DEI, and cultural events

Federal holidays are more than compliance dates. They carry cultural and historical meaning, and they intersect with DEI work in real ways.

To support inclusion while still respecting business needs:

• Consider combining fixed paid federal holidays with floating holidays. This lets employees use paid time off for cultural or religious events that are not federal holidays, such as Ramadan, Diwali, or Lunar New Year
• Train managers to handle requests around religious or cultural observances fairly and consistently
• Review whether your set of paid holidays favors one group, and use data from engagement surveys to adjust

You can also use federal holidays as learning moments. For example:

• Share internal resources or short messages about the meaning of the Birthday of Martin Luther King Jr., Veterans Day, or Juneteenth
• Encourage volunteer days or community service tied to certain holidays
• Highlight that not every important cultural day is on the federal list; invite employees to share what matters to them

For more DEI news and insights, visit our diversity & inclusion page.

Integrating federal holidays into your time off policy

The guidelines on taking paid time off on federal holidays are clear for federal employees. With the private sector, though, it falls mostly to the employers to decide.

Companies and organizations can consider these factors when making that decision:

• a time off policy, which includes federal holidays, helps attract and retain employees
• the ability to rest and recharge lifts employee morale and motivation
• observing federal holidays, especially on days that are significant to your employees, makes them feel valued

Done well, federal holidays are not just dates that close the office. They become part of an approach to time off that honors important dates in history and the diverse people who work in your organization.

Read the latest news on federal holidays