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US Proposes Ending H-1B Workers’ 60-Day Job Grace Period
The US government wants to change a rule for some foreign workers who lose their jobs.
Right now, many H-1B workers can stay in the country for up to 60 days while looking for another job.
The proposed change would remove that waiting period.
Workers might have to leave the United States right away unless they have another legal way to stay.
They could then need a new job offer and visa application before returning.
The rule would also affect some workers with other temporary visas and their families.
Indian technology workers could be especially affected because many H-1B holders are Indian.
Supporters say the change would make immigration status depend more directly on the job, while critics say it could make job changes and hiring harder.
The Department of Homeland Security proposed eliminating the discretionary 60-day grace period for H-1B and several other temporary visa holders who lose employment.
If finalized, affected workers and dependents generally would need to leave the United States immediately unless they had separate authorization to remain.
The proposal would reverse an Obama-era policy introduced in 2016 or 2017 that helped workers find new sponsors or change status without leaving the country.
DHS said the change would restore a direct link between immigration status and the employment supporting it, while critics warned it could harm workforce flexibility and competitiveness.
The proposal particularly concerns Indian technology workers, who accounted for 72.3% of H-1B visas issued in fiscal year 2022-23.
- Who
- The Department of Homeland Security proposed the change, affecting H-1B workers, their dependents, and holders of several other temporary employment visas.
- What
- DHS proposed eliminating the discretionary 60-day period that allows certain foreign workers to seek new employment after losing a job.
- Where
- The proposal concerns foreign workers employed in the United States and would affect immigration processing through the US government and its overseas embassies or consulates.
- When
- The proposal was announced on Thursday; the articles say it would be published in the Federal Register on Friday, with one report specifying September 11. Public comments would be accepted for 60 days.
- Why
- DHS said it wants to restore a direct relationship between nonimmigrant status and the employment supporting it and reduce administrative burden.
DHS and Administration Rationale
Worker, Employer and Immigration Concerns
Immigration status and employment
DHS and Administration Rationale
DHS says removing the grace period would restore a direct relationship between a worker’s nonimmigrant status and the specific job or activity supporting admission.
Worker, Employer and Immigration Concerns
Critics argue that an ordinary layoff or job change would become an immigration event, forcing workers and families to leave before they can transition to another employer.
Administrative burden
DHS and Administration Rationale
DHS says eliminating the discretionary period would reduce USCIS workload and the burden of administering the grace-period rules.
Worker, Employer and Immigration Concerns
Former DHS official Adam Klein argued that workers leaving the country, seeking jobs abroad, undergoing a new immigration process and potentially returning could replace rather than reduce system complexity.
Workforce flexibility and competitiveness
DHS and Administration Rationale
The administration has argued that employers may hire qualified US workers or use the I-129 petition process when needed.
Worker, Employer and Immigration Concerns
The US Chamber of Commerce warned that the change could affect workforce flexibility, talent retention, employer continuity and US competitiveness, while technology companies rely heavily on foreign workers.
Key facts
- Affected visa categories
- E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1 and TN categories, along with certain dependents.
- Current grace period
- Up to 60 days after employment ends, whether the departure is voluntary or involuntary.
- Public comment period
- 60 days after publication in the Federal Register.
- Workers affected in 2025
- DHS estimated that 65,752 primary beneficiaries either lost jobs or voluntarily changed employers.
- Five-year range
- The comparable figure was 80,034 in fiscal year 2023 and 40,959 in fiscal year 2021.
- New employer filings
- Between fiscal years 2021 and 2025, 5.77% of 328,758 affected primary beneficiaries had a new petition filed by a new employer.
- Indian H-1B share
- Indians accounted for 72.3% of H-1B visas issued by the United States in fiscal year 2022-23.
Quotes
US Department of Homeland Security
The federal agency proposing the immigration rule change
“This proposal restores a direct relationship between an alien's nonimmigrant status and the specific employment or activity that formed the basis of his or her admission or grant of status in the United States and reduces administrative burden”
rediff.com
“DHS presumes that they will either offer the same jobs to equally qualified U.S. workers or go through the I-129 petition process depending on their workforce requirement.”
financialexpress.com
Neil Bradley
Executive vice president and chief policy officer at the US Chamber of Commerce
“Making one USCIS adjudication simpler does not necessarily make the immigration system more efficient. In some cases, we could be replacing an issue USCIS currently handles here with a worker leaving the country, looking for another job from abroad, going through another immigration process and potentially returning to the United States.”
financialexpress.com
“We encourage the administration to carefully weigh the proposal’s impact on workforce flexibility, talent retention, and U.S. competitiveness.”
financialexpress.com
Sources
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