Losing a job in the United States can already feel stressful for workers. A new proposal from the U.S. Department of Homeland Security, DHS may make the situation more difficult by taking away the, up-to-60-day grace period that some nonimmigrant workers have after their job ends.
1. What Is the 60-Day Grace Period?
In 2017 under regulation 8 CFR 214.1(l)(2) the 60-day grace period was introduced. This period allows eligible nonimmigrant workers to stay in the United States for up to 60 calendar days or, until the authorized period of stay expires whichever comes first after a job loss or resignation. Within this time foreign professionals may stay legally in the U.S. To search for an employer willing to sponsor a visa to apply for a change of status or to finish personal matters before leaving.
2. What Is the New DHS Proposal?
The U.S. Department of Homeland Security known as DHS released a Notice of Proposed Rulemaking called "Eliminating the Discretionary 60-day Grace Period”.
- The Directive: The rule aims to remove the discretionary 60‑day buffer
- Immediate Departure: If workers lose their jobs or decide to resign they will be out of status away on their final day of work. They will need to leave the United States unless they have another legal reason to remain.
- Current Status: The rule is still a proposal and it is open to public comment for 60 days. It has not yet become law. The current 60‑day grace period is still, in effect.
3. Which Visa Holders Could Be Affected?
The focus is often on tech workers. The proposal could impact many types of nonimmigrant visa holders and their families. This includes:
- H-1B and H-1B1 visas: Workers in specialty occupations including those from Chile and Singapore.
- L-1 visas: Executives, managers and employees transferring knowledge within a company.
- E-1, E-2 and E-3 visas: Treaty traders, treaty investors and Australian professionals in specialty occupations.
- O-1 visas: People with ability in science the arts, business or sports.
- TN visas: Professionals from Canada and Mexico under the NAFTA/USMCA agreement.
- Also affected are dependents. Such as spouses and children. Who hold H-4 L-2 and similar visas. These dependents would lose their status at the same time, as the main visa holder.
4. Why Is This Important for Indian Professionals?
Indian nationals make up than 70% of all active H-1B visa holders and are a major part of L-1 visa holders in the technology and business fields.
- No Safety Net for Layoffs: Because of economic changes and company cutbacks losing a job suddenly would mean losing legal status right away. There would be no time to look for a job or get a new transfer petition approved inside the United States.
- Exposure, to Green Card Backlog: professionals who have been waiting for many years on employment-based Green Card lists depend a lot on the 60-day period to change employers while keeping their approved I-140 priority dates active.
5. What Should H-1B and L-1 Workers Do
Stay ready for a B-2 status or change of status. Keep all the documents prepared so you can quickly file Form I-539 to change your status to B-2 tourist or another class if needed, especially around your termination date.
- Make sure you know your priority dates and check that your I-140 approvals are up to date. Verify that your employer has given you copies of your approved Form I-140, which's the Immigration Petition for Alien Worker. This is important, for your green card process.
- Set aside emergency funds. Build up savings to cover unexpected travel, relocation or legal expenses that could come up suddenly.
- Keep an eye on the Federal Register. Watch for comment periods and official USCIS announcements before any new rules are finalized. Staying informed gives you time to act before changes affect your status.
6. What Could This Mean for Employers and Families?
For Employers:
- Offboarding Timelines: HR teams and legal teams will no longer have a smooth buffer period when ending a relationship with an employee. This means that Employers must file status changes or arrange a departure immediately.
- Return Transportation Costs: Employers are legally required to pay transportation costs that bring an employee back, to their last foreign home when the termination is not voluntary.
For Families:
- Disruption: Families may suddenly face eviction, a rush to pull children out of schools and a hurried sale of homes, cars or other personal belongings.