Labor Day is almost here, bringing with it one last chance for many Americans to soak up what’s left of summer.
Observed on the first Monday of September, the federal holiday celebrates the contributions and achievements of American workers. The three-day weekend is also an occasion for family and friends to gather and celebrate the unofficial bookend of summer.
Read on to learn more about the federal holiday, including what’s open on Labor Day and what sales are to had in 2025.
When is Labor Day?
This year, Labor Day falls on Monday, Sept.1.
What is the history of Labor Day?
Nowadays, Labor Day is more commonly associated with barbecues and beach days, but the federal holiday was created to celebrate the hard-won rights of American workers.
Before early labor laws came into play in the 20th century, the average U.S. worker’s schedule spanned 12 hours a day, 7 days a week, with low wages and little protections, according to History.com.
The culmination of years of strikes and protests by American workers to secure better job conditions, Labor Day was signed into law on June 28, 1894, by President Grover Cleveland.
The civilian workforce in America is around 170 million people strong as of June 2025, data from Statista shows. While there’s no cap on the number of hours Americans can work per week, federal law mandates that workers be paid a minimum wage.
That wage has been stuck at $7.25 since 2009. However, many cities and states across the country have passed legislation to enforce higher minimums adjusted for today’s cost of living. Most recently in July, the minimum wage was raised in 15 states and cities.
What stores are open and closed on Labor Day?
Big-box retailers including Walmart, along with drugstore chains like Walgreens, will keep their doors open on Sept. 1.
Costco will be closed on Labor day, in keeping with the discount store’s holiday schedule.
Most grocery stores such as Kroger and Whole Foods will be open, but recommend that shoppers check ahead for specific hours of operation. While Kroger’s website says its stores will be operating at regular hours on Sept. 1, Whole Foods recommends you check your local store’s webpage on Labor Day for hours of operation.
Fast-food chains, including Starbucks and Taco Bell, will also be open to serve customers on Sept. 1. While some, like Starbucks, will be operating at regular hours, other chains recommend checking ahead for local store hours which may be limited on holidays.
Are banks and the USPS open on Labor Day?
U.S. government offices will be closed on Labor Day, which is a federal holiday.
The stock market, United States Postal Service and major banks such as Bank of America will also be closed for the holiday. However, most ATMs will be available for basic transactions such as deposit and withdrawals.
What sales are there on Labor Day?
Multiple retailers are offering deals during Labor Day weekend on items ranging from back-to-school items to appliances, furniture and cars. Some sales have already started, according to Forbes.
