H-1B Grace Period Faces a Potential Major Change
A federal proposal that could eliminate the 60-day grace period available to certain H-1B workers after their employment ends has cleared an important regulatory review. The Department of Homeland Security (DHS) proposal, titled “Eliminating the Discretionary 60-day Grace Period,” completed review by the White House Office of Information and Regulatory Affairs (OIRA) on August 27, 2026.
However, this does not mean the 60-day grace period has already ended. The measure is still a proposed rule and must move through additional steps before a change can take effect.
What Is the Current 60-Day Grace Period?
Under current regulations, certain nonimmigrant workers, including those in H-1B status, may receive a discretionary grace period of up to 60 consecutive days after the employment supporting their status ends.
The grace period cannot extend beyond the worker’s existing authorized validity period. For an H-1B worker who is laid off, this period can provide valuable time to find a new employer, pursue another eligible immigration status, or prepare to leave the United States.
What Is DHS Proposing?
DHS, through U.S. Citizenship and Immigration Services (USCIS), is developing a proposed rule titled “Eliminating the Discretionary 60-day Grace Period.”
The proposal was submitted to OIRA for review on August 6, 2026, and the review concluded on August 27, 2026. Clearing OIRA review is an important step in the federal rulemaking process, but it does not make the proposal law or immediately change existing immigration regulations.
The proposed regulatory text has not yet been published, so the precise scope and mechanics of the proposed change are not yet known.
Has the 60-Day Grace Period Ended?
No. H-1B workers should be cautious about headlines suggesting the 60-day grace period has already been eliminated. The proposal remains at the proposed-rule stage. Until DHS issues a final rule and that rule takes effect, the existing 60-day grace-period regulation remains in place.
The current grace period is also discretionary. It provides up to 60 days and cannot extend beyond the end of the worker’s authorized validity period.
Why This Matters for H-1B Workers
Eliminating the grace period could have a significant impact on H-1B professionals who experience layoffs.
The current rule can provide workers with time to search for another qualifying employer and explore immigration options after employment ends. Without that window, a sudden termination could create much greater immigration pressure. Workers may have less time to coordinate a new H-1B petition, seek a change of status, or make plans to depart the country.
The exact consequences, however, will depend on the final language DHS ultimately adopts.
Could Other Visa Holders Be Affected?
The existing 60-day grace-period regulation applies to more than just H-1B workers. It currently covers individuals in E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1, and TN classifications.
For that reason, the proposal could have consequences beyond the H-1B program. Whether DHS intends to eliminate the grace period for all of these classifications, or make other changes to the existing provision, should become clearer once the proposed regulatory language is published.
What Happens Next?
The next major step to watch is publication of the proposed rule.
That publication should explain exactly how DHS wants to change the current regulation and may provide a period for public comments. After reviewing comments, DHS could revise the proposal, move forward with a final rule, or take another action permitted under the federal rule making process.
Even if DHS eventually publishes a final rule, the effective date will be important in determining when the new requirements actually apply.
What Should H-1B Workers Do?
H-1B workers should not assume that their current 60-day grace-period options disappeared simply because the proposal cleared federal review. Workers who lose their jobs should nevertheless act quickly. They should confirm the date their employment ended, review their authorized stay, and promptly consider options such as obtaining new qualifying employment or pursuing another eligible immigration status.
Because individual circumstances differ, workers facing termination may also want to seek qualified immigration advice rather than waiting until the end of a potential grace period.
Key Takeaways
DHS is developing a proposed rule that could eliminate or substantially change the discretionary 60-day grace period currently available to H-1B and certain other nonimmigrant workers.
The proposal cleared OIRA review on August 27, 2026, marking an important step in the regulatory process. But the 60-day grace period has not automatically ended. The proposal is not yet a final rule.
Because a job loss or change in employment can have immediate immigration consequences, H-1B workers who are concerned about maintaining lawful status or understanding their options should consider speaking with a qualified immigration attorney for guidance based on their individual circumstances.
Schedule a Consultation with an Immigration Lawyer
Sources
- OIRA / Reginfo.gov — Eliminating the Discretionary 60-day Grace Period (RIN 1615-AD22)
- Electronic Code of Federal Regulations — 8 CFR § 214.1, Requirements for Admission, Extension, and Maintenance of Status
We Can Help!
If you have questions regarding H1-B visas, we invite you to contact our team at Richards and Jurusik for detailed guidance and assistance. We aim to provide the most accurate and up-to-date information to make your immigration process smoother and less stressful. The immigration lawyers at Richards and Jurusik have decades of experience helping people to work and live in the United States. Please read some of our hundreds of 5-star client reviews! Contact us today to assess your legal situation.
REBECCA KROLL is an Associate Attorney at Richards and Jurusik who practices exclusively in U.S. immigration law, focusing on both business and family-based immigration. She assists clients with employment-based visas, marriage and family cases, and the U.S. citizenship process. (Full Bio)
