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July 4th Becomes A National Holiday. In 1870, the U.S. Congress made July 4th a federal holiday; in 1941, the provision was expanded to grant a paid holiday to all federal employees.
In 1967, federal law officially recognized the holiday as âMemorial Day,â the by-then common name. In 1968, Congress passed the Uniform Monday Holiday Act, which established a number of three-day US holidays. Memorial Day was officially set as the last Monday in May.