The first ever government recognition came through municipal ordinances passed in 1885 and 86. From those ordinances, a bill was introduced in New York, passed in Oregon and then eventually approved nation-wide by 1894. Congress passed an act making the first Monday of every September a legal holiday in the District of Colombia and other territories.
What does Labor Day Mean?
Labor Day is the first Monday in September and is dedicate to the socioeconomic achievements of the American workforce. This day is a yearly national tribute to the strength, prosperity and well-being of America.
The First Labor Day
The first labor day was celebrated on Tuesday, September 5 1882 in New York with the plans of the Central Labor Union. The character of Labor Day has undergone a change in recent years which emphasizes expression mores than it has before.
The vital force of labor added materially to the highest standard of living and the greatest production the world has ever known and has brought us closer to the realization of our traditional ideals of economic and political democracy. It is appropriate, therefore, that the nation pays tribute on Labor Day to the creator of so much of the nation's strength, freedom, and leadership — the American worker.
Read more here: https://www.dol.gov/general/laborday/history