White House Proposes Eliminating 60-Day Grace Period for H-1B and Other Temporary Workers

August 9, Kathmandu – A proposal has been advanced in the United States to remove the current maximum 60-day grace period granted to foreign workers on temporary employment-based visas, including H-1B visa holders, after they lose their jobs. The U.S. Citizenship and Immigration Services (USCIS), part of the Department of Homeland Security, has submitted the proposed rule to the White House’s Office of Management and Budget (OMB) for review. However, no changes have been implemented to date. The existing 60-day grace period remains in effect while the proposal undergoes OMB review. The new provision will only take effect after the proposal is made public, necessary procedures are completed, and final rules are issued.
According to government preparations, this change could increase difficulties for foreign workers in the U.S. The United States is seeking to make its immigration system more effective, emphasizing that this improvement will ultimately benefit all parties in the long term. If implemented, millions of immigrants from West Asia and other regions could be affected. U.S. Secretary of State Marco Rubio has highlighted that the country has been grappling with a large number of undocumented immigrants for several years, with over 20 million people entering the U.S. illegally, and noted that these modifications have been proposed to address these challenges.
A separate bill has been introduced that may open a pathway for those residing continuously in the U.S. for seven years to apply for permanent residency. Under this new proposed legislation in the U.S. Senate, individuals—including millions of H-1B visa holders—who have continuously lived in the U.S. for the past seven years would be allowed to file green card applications. The green card, officially known as the “Permanent Resident Card,” grants lawful permanent residence and authorization to live and work indefinitely in the U.S.
What does current law state? Under existing law, if an H-1B employee loses their job, they are not required to leave the U.S. immediately. The current regulation grants a maximum 60-day grace period during which the employee can seek another job or take measures to maintain their status in the U.S. The employee may search for new employment, and a new employer can submit an H-1B petition on their behalf. In certain cases, the employee may begin work with the new company before the petition is formally approved.
What happens if a new job is not found? Looking for another job is not the only option. Under some circumstances, the employee may apply to change to another visa or immigration status, such as a dependent or visitor status, subject to specific conditions. If the employee is already eligible for a green card, there might be additional options available. However, if the employee neither secures new employment nor takes steps to adjust their status within the 60-day period, they may be required to leave the United States—especially when the authorized stay in the country expires. (With agency contributions)





