Loss of 60-Day Grace Period Would Impact Laid-Off H-1B Workers

DHS proposes ending the 60-day grace period for H-1B workers, potentially requiring immediate departure upon job loss. The rule is currently under review.

Article Updates1 update
Aug 28, 2026Latest

A DHS proposal to eliminate the 60-day grace period for H-1B workers has cleared White House review and is now expected to be released publicly soon. The change remains a proposal, and the current 60-day grace period stays in effect until a rule is published and finalized.

  • On August 6, 2026, DHS sent a proposed rule titled “Eliminating the Discretionary 60-Day Grace Period” to White House regulatory review.
  • On August 28, 2026, Bloomberg Law reported that the proposal cleared the Office of Information and Regulatory Affairs, a key White House office, and is poised for public release.
  • If finalized as described, the proposal would end the current 60-day grace period for H-1B workers and other affected nonimmigrant categories.
  • No Federal Register publication, public-comment period, or final effective date has been announced, so current USCIS policy still allows eligible workers to remain for up to 60 consecutive days or until their I-94 expires, whichever is shorter.
Article Updates2 updates
Aug 28, 2026Latest

The Trump administration’s proposal to end the 60-day grace period for laid-off H-1B workers cleared White House regulatory review on August 27, 2026, moving the rule closer to public release. The proposal, titled “Eliminating the Discretionary 60-day Grace Period” and tracked as RIN 1615-AD22, was submitted to OIRA on August 6, 2026 and is still only a proposed rule.

  • The federal regulatory database shows the review was “Concluded” on August 27, 2026 with the action “Consistent with Change.”
  • The proposal is listed as a Proposed Rule from DHS/USCIS and concerns the existing grace period in 8 CFR 214.1(l)(2) for H-1B and certain other nonimmigrant workers.
  • The current rule still allows up to 60 consecutive days, or until the end of authorized validity, for workers including H-1B, H-1B1, L-1, O-1, TN, E-1, E-2, and E-3 classifications, along with their dependents.
  • Clearing OIRA review does not change immigration status by itself; the proposal still must be published and follow the federal rulemaking process before any change takes effect.
1 earlier update
Aug 28, 2026

A DHS proposal to eliminate the 60-day grace period for H-1B workers has cleared White House review and is now expected to be released publicly soon. The change remains a proposal, and the current 60-day grace period stays in effect until a rule is published and finalized.

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  • On August 6, 2026, DHS sent a proposed rule titled “Eliminating the Discretionary 60-Day Grace Period” to White House regulatory review.
  • On August 28, 2026, Bloomberg Law reported that the proposal cleared the Office of Information and Regulatory Affairs, a key White House office, and is poised for public release.
  • If finalized as described, the proposal would end the current 60-day grace period for H-1B workers and other affected nonimmigrant categories.
  • No Federal Register publication, public-comment period, or final effective date has been announced, so current USCIS policy still allows eligible workers to remain for up to 60 consecutive days or until their I-94 expires, whichever is shorter.
Key Takeaways
  • The DHS proposal aims to eliminate the 60-day grace period for H-1B and other nonimmigrant workers.
  • A sudden termination could lead to immediate loss of legal status for workers and their dependents.
  • The rule is under OIRA review before public comment, with current protections still legally in effect.

The Department of Homeland Security advanced a proposal August 6 to eliminate the 60-day grace period for certain nonimmigrant workers, including H-1B workers who lose their jobs before their authorized stay expires. The proposal carries Regulatory Identification Number RIN 1615-AD22.

DHS sent the proposed rule to the White House Office of Information and Regulatory Affairs for review. That step comes before publication for public comment. The current protection remains legally in effect as of August 10, 2026.

This image is a digital illustration depicting a stylized H-1B visa card, used in the context of U.
Loss of 60-Day Grace Period Would Impact Laid-Off H-1B Workers

The existing rule dates to 2017. Under 8 CFR 214.1(l)(2), eligible workers can stay in the United States for up to 60 consecutive days after employment ends, or until their authorized validity period expires, whichever comes first.

The rule covers H-1B, H-1B1, L-1, O-1, TN, E-1, E-2 and E-3 workers. Their dependents also could face the consequences of a shortened departure timeline.

If finalized, the proposal would remove the period workers use to seek new employment or change status. A termination could instead trigger an immediate loss of legal nonimmigrant status, according to the policy description.

That could also block in-country filings. Workers might be unable to submit an H-1B transfer or change-of-status request from inside the country because they would no longer be maintaining status when they filed.

A job loss could force families to leave before they can close out their lives

The proposal would generally require affected workers and their dependents to depart the United States immediately after termination. USCIS could still exercise discretion, but that relief would be rare.

Workers may have mortgages, car leases and children enrolled in local schools. Removing the existing window would give families zero time to wind down those obligations, community leaders and immigration experts say.

Ajay Bhutoria, a community leader, condemned the proposal August 10, 2026.

“Eliminating the 60-day grace period is inhumane and unworkable. Families will be uprooted overnight, thrown into chaos through no fault of their own.”

The change is part of a broader “America First” approach aimed at tightening the H-1B program. Supporters argue that eliminating the protection would prevent misuse, while critics say it would create immigration cliffs for workers who complied with the rules.

The affected population includes a large Indian professional community. Indian nationals accounted for approximately 71% of all approved H-1B petitions in 2024, so the proposed change is expected to fall disproportionately on Indian-American professionals.

The proposal still faces several formal steps

DHS must clear the internal review before the proposal can move into the public rulemaking process. The remaining sequence is:

  1. OIRA completes its review.
  2. DHS publishes the proposal in the Federal Register as a Notice of Proposed Rulemaking.
  3. The public receives a 30 to 60-day comment period.
  4. The government reviews the comments and publishes a Final Rule with an effective date.

The proposal therefore has not yet changed the rights available under the current regulation. Workers whose employment ends while the rule remains in force can still rely on the existing protection, subject to its 60-day maximum and their authorized validity period.

USCIS Director Joseph B. Edlow signaled a stricter agency posture after his confirmation in July 2025. On July 18, 2025, he said:

“USCIS must be an immigration enforcement agency. I am greatly looking forward to advancing the president’s agenda to restore integrity in our legal immigration system.”

The review now places the grace-period proposal between agency action and a possible public fight over its final terms. Any final rule would need an effective date before the proposed loss could govern future terminations.

People also ask

Answers from VisaVerge guides
Why are USCIS and DHS shortening or removing the 60-day grace period for H-1B workers?

USCIS and DHS have started sending deportation notices even when workers are still within the 60-day grace period allowed by law, without any official announcement or updated guidance.

Read: USCIS Issues Deportation Notices to Laid-Off H-1B Workers Despite Grace Period
What is the current status of the 60-day grace period for H-1B workers?

The 60-day grace period remains strictly enforced through 2025 with no extensions.

Read: Laid-Off H-1B Worker Faces Harsh Reality of 60-Day Rule
What is the grace period for an H-1B worker who loses their job after changing jobs under the 180-day rule?

If an H-1B worker loses their job after changing jobs, they have a 60-day grace period to find a new employer or change their status without losing their green card process.

Read: Can I Change Jobs After I-140 Approval? Understanding the 180-Day Rule for H-1B Workers
What is the grace period for H-1B visa holders after a layoff?

H-1B visa holders get a 60-day grace period after layoffs to find new employment or change status.

Read: 8 Essential Tips for Managing Immigration Status During a Layoff
What is the 60-Day Grace Period after job loss for work visas?

The Department of Homeland Security allows a discretionary 60-Day Grace Period after employment ends for many work visas.

Read: Maintaining Legal Status Between Jobs: A 60-Day Grace Period Guide
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Priya Nair

Priya Nair is VisaVerge.com's Work Visa Correspondent, specializing in employment-based immigration — H-1B, L-1, O-1, TN, OPT, and the PERM and green-card process. She breaks down lottery odds, prevailing-wage rules, and employer obligations for the skilled professionals who navigate them every year. Priya's guides help workers and employers make confident, well-informed decisions about building a career in the United States.

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