McMahon's ordered the suspension to continue until "the business day after the President signs into law a budget appropriation that restores Department of Justice funding".
Thursday marked the sixth day of the partial government shutdown.
"While Trump and the GOP leadership are putting on a courageous face, the Democrats plan simply to pass a" continuing resolution" bill to re-open the government once they take control of the House, and pass it along to the Senate, daring Majority Leader Mitch McConnell (R-KY) - long opposed to shutdowns - to refuse. Congress usually provides for federal employees to be repaid for lost wages during a shutdown but that does not extend to contract workers like many security guards and janitors.
She accused Democrats of "openly choosing to keep our government closed to protect illegal immigrants rather than the American people".
When McConnell was asked if he would be coming back to participate in the talks, he said, "as I've said repeatedly, we need Democratic votes and presidential signature".
Senate Republicans are locked in a battle with their Democratic counterparts over the House-passed stopgap funding bill.
A Manhattan federal judge on Thursday suspended all civil cases involving the Manhattan US Attorney's office - other than civil forfeiture cases - until the government shutdown ends.
Trump has refused to sign any spending bill that does not include money for the border wall.
Partial government shutdowns are not an unusual weapon in Washington budget negotiations, where party divides make cooperation a rarity. It was the third attempt by Democrats to bring up the bill since the shutdown began.More news: Royal Feud: Meghan And Harry Not Staying With William And Kate
The mess has contributed to worries over the outlook for the United States economy in 2019, following a surging 2018 performance.
After a weekend and two holiday days for federal employees, Wednesday was the first regularly scheduled workday affected by the closure of a variety of federal services.
Continuing the see-saw performance, Wall Street opened sharply lower Thursday but ended solidly higher on bargain hunting.
"These federal workers want the wall", Trump said at the time.
Managing the flow of illegal border crossers has been complicated by a shift from single men to more vulnerable families, including small children.
"You have to have a wall, you have to have protection", he said.
US Customs and Border Protection Commissioner Kevin McAleenan warned Wednesday that the agency was unable to cope with the thousands of arrivals, as most facilities were built decades ago for men arriving alone.
On Friday afternoon, a Senate procedural vote showed that Republicans lacked the 60 votes they'd need to force the measure with the wall funding through their chamber.