60-Day H-1B Grace Period Under Threat
If you’re an H-1B holder who’s just been laid off, you might have significantly less time to find a new job or leave the US if a proposed rule change goes through. The US Department of Homeland Security is considering scrapping the 60-day grace period currently available to H-1B holders and certain other foreign workers after they lose their jobs.
The 60-day grace period was introduced in 2017 to give workers time to deal with an unexpected job loss. During this period, workers can look for a new employer willing to sponsor them, find another qualifying position, explore changing to another immigration status, or make arrangements to leave the US. The rule also gives employers more flexibility to hire foreign workers who are already in the country.
The proposed change would remove the 60-day grace-period protection for certain principal non-immigrant workers and their dependents when the employment supporting their immigration status ends before their authorized stay expires. This means affected workers could have far less time to make immigration arrangements after losing their jobs. In some cases, they could have to leave the US rather than use the current 60-day window to find another employer.
Several categories of non-immigrant workers could be affected, including H-1B specialty occupation workers, L-1 intracompany transferees, O-1 individuals with extraordinary ability, and TN eligible professionals from Canada and Mexico. Dependents of eligible workers are also covered under the existing provision.
The proposal has been sent to the White House Office of Management and Budget for review and has not yet been finalized. If it clears that stage, it would be published in the Federal Register, giving the public an opportunity to submit comments. The proposal could still be changed, delayed, or withdrawn during the regulatory process. Until then, the existing 60-day grace period remains in effect.
For foreign workers, the biggest impact would be the loss of time. A sudden layoff could become an immigration problem much faster than it does under the current system. If the grace period is removed, affected workers could have to find a new sponsoring employer much more quickly, explore another eligible visa or immigration status, make arrangements to leave the US, or seek immigration advice quickly to determine whether other routes are available.
The change could be particularly disruptive for workers who are laid off unexpectedly and need time to secure a new employer. It could also make it harder for workers to remain in the US while searching for another employer. The impact could extend beyond the principal worker, affecting dependents whose immigration status is tied to the principal worker.
Here are some key points to consider:
- The proposed rule change is currently under review and has not yet been finalized.
- The 60-day grace period is still in effect until any changes are made.
- Foreign workers who lose their jobs may have less time to find a new employer or make immigration arrangements if the proposal goes through.
- The change could affect several categories of non-immigrant workers, including H-1B holders and their dependents.
