US Prepares for Labor Day: What Is Labor Day?

Washington, D.C., August 31, 2025 - As Americans gear up for the long weekend, a reminder arrives of tomorrow’s federal holiday: Labor Day, observed on the first Monday in September to honor the contributions of workers and the labor movement.

The holiday originated in the late 19th century amid rising trade-union activity. In 1882, the Central Labor Union and the Knights of Labor organized the first public parade of workers down the streets of New York City, proposing that “a day be set aside for a general holiday for the laboring classes,” complete with a parade and picnic. Two years later, the Knights of Labor formally adopted a resolution designating the first Monday in September as Labor Day.

Congress made Labor Day a federal holiday in 1894 following the Pullman Strike, with President Grover Cleveland signing the bill into law on June 28 of that year. By that time, thirty states were already observing the holiday, which recognized “the works and contributions of laborers to the development and achievements in the United States”.

Today, Labor Day serves both as a tribute to workers’ economic and social achievements and as the unofficial end of summer. Many Americans mark the holiday with parades, picnics, barbecues, and retail sales. Municipal labor unions lead parades showcasing floats and marching bands, while families and friends gather for outdoor celebrations. Retailers often offer special promotions, making it one of the busiest shopping weekends of the year.

With Labor Day 2025 falling on September 1, cities and towns across the country finalize preparations for parades and public events. As workers enjoy the holiday Monday off, schools pause new semesters, and businesses pause to recognize the backbone of the nation’s prosperity: its labor force.