Archive · 12 Sep 2026
DHS Proposes Ending 60-Day Grace Period for H-1B Workers
The US government wants to change what happens when some foreign workers lose their jobs.
Today, many H-1B workers can stay in the United States for up to 60 days while looking for a new job.
The proposed rule would remove that safety period.
Workers might have to leave quickly unless they have another legal way to stay.
They could then need a new job offer, petition and visa process before returning.
The change would also affect several other work visas and some family members.
Indian technology workers could be especially affected because many H-1B workers are Indian.
Government officials say the change would make immigration rules simpler and connect status directly to employment, while critics say it would make layoffs much more disruptive.
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 would generally be considered out of status the day after their jobs end and would need to leave the United States unless another legal basis allowed them to remain.
The grace period, introduced during the Obama administration in 2016 or 2017, allowed workers to seek new sponsors or change status without immediately departing.
DHS said the proposal would reconnect immigration status to the employment supporting it and reduce administrative work, while critics warned of disruption, costs and deportation risks.
Indian technology workers could be especially affected because Indian nationals accounted for 72.3% of H-1B visas issued by the United States in fiscal year 2022-23.
- Who
- The Department of Homeland Security proposed the change, which would affect 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 or another immigration option after losing a job.
- When
- The proposal was announced on a Thursday and is expected to be published in the Federal Register on Friday; the articles differ on the precise publication date, citing September 11 in one account. Public comments would be accepted for 60 days, with one article listing November 10 as the deadline.
- Where
- The proposal concerns foreign workers employed in the United States and could require affected workers to seek new visas through US embassies or consulates abroad.
- Why
- DHS said it wants to restore a direct link between nonimmigrant status and the employment supporting it, improve immigration-system integrity and reduce administrative workload.
DHS and Administration Rationale
Worker, Employer and Immigration Concerns
Status and employment
DHS and Administration Rationale
DHS says eliminating 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 say 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 efficiency
DHS and Administration Rationale
DHS says removing the grace-period assessment would reduce USCIS workload and improve the integrity and efficiency of the legal immigration system.
Worker, Employer and Immigration Concerns
Former DHS official Adam Klein argued that workers leaving the country, seeking jobs abroad, undergoing another immigration process and potentially returning could replace rather than reduce administrative complexity.
Workforce flexibility
DHS and Administration Rationale
DHS said employers could hire equally 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 proposal could harm workforce flexibility, talent retention, employer continuity and US competitiveness.
- 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, or until authorized stay expires, whichever comes first.
- Proposed consequence
- Workers would generally be considered out of status the day after qualifying employment ends and would need to leave unless another legal basis allowed them to remain.
- Recent affected workers
- DHS estimated that 65,752 primary beneficiaries lost jobs or voluntarily changed employers in 2025; the figure was 80,034 in fiscal year 2023 and 40,959 in fiscal year 2021.
- New employer petitions
- Between fiscal years 2021 and 2025, 5.77% of 328,758 affected primary beneficiaries had a new petition filed by a new employer.
- Potential annual filings
- Another DHS estimate said 3,795 workers could have new I-129 petitions filed during the grace period each year, with 99.2% of that group being H-1B workers.
- Indian H-1B share
- Indian nationals accounted for 72.3% of H-1B visas issued by the United States in fiscal year 2022-23.
Sources
US to scrap 60-day grace period for H-1B holders losing jobs
US proposes new rule to end 60-day grace period after job loss for H-1B, other visa holders
Trump moves to axe 60-day grace period for H-IB visas
End of H-1B safety net? How new DHS proposal could impact Indians and other visa holders
