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H-1B workers in US might lose 60-day grace period
The proposal was submitted earlier this month

H-1B workers in US might lose 60-day grace period

Aug 29, 2026
01:51 pm

What's the story

The White House has completed its review of a proposal to end the 60-day post-employment grace period for foreign workers, including those on H-1B visas. The Department of Homeland Security (DHS) had submitted the proposal earlier this month to the Office of Management and Budget (OMB). If approved, it could leave thousands of skilled workers with little time to find new jobs or make arrangements to leave the US.

Potential consequences

Major impact on Indian H-1B visa holders

The proposal, if implemented, could have a major impact on Indian nationals who make up a large chunk of H-1B visa beneficiaries.

In the fiscal year 2024, Indian nationals accounted for 71% of successful H-1B applicants.

The exact details of the proposal will be revealed once it is published in the Federal Register and a public comment period is initiated.

Critique

Former White House adviser's take on proposal

Ajay Jain Bhutoria, a former White House adviser, has criticized the proposal to eliminate the grace period.

He said that removing it would leave highly skilled foreign workers with little time to respond to an unexpected termination.

Bhutoria suggested extending this period instead of eliminating it altogether.

"Eliminating the 60-day grace period is both inhumane and unworkable," he said.

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Rule details

Current rules for non-immigrant workers

Under the current rules, certain non-immigrant workers and their dependents can stay in the US for up to 60 days after employment ends or until their authorized stay expires, whichever comes first.

This provision gives them time to find another employer, change their immigration status, or make arrangements to leave.

If finalized, the proposed change could end this buffer period for those whose employment ends before their authorized stay expires.

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Rule scope

Proposed rule and individual cases

The proposed rule would apply to E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1, and TN categories of non-immigrant visa holders and their dependents.

If approved as is, it could end the grace period for certain foreign workers.

The DHS already has the discretion to shorten or deny this grace period in individual cases but has rarely exercised that authority.

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