The US Department of Homeland Security has proposed scrapping the 60-day grace period that lets H-1B and other work-visa holders stay in the country after losing their job.
Under the plan, published for public inspection in the Federal Register on September 11, 2026, most affected workers would have to leave almost immediately instead.
What the Plan Targets
The proposal would remove 8 CFR 214.1(l)(2), the regulation that created the grace period in 2016.
It covers eight nonimmigrant visa categories and their dependents: H-1B, H-1B1, E-1, E-2, E-3, L-1, O-1, and TN.
What It Would Mean for Visa Holders
Right now, workers who lose a job tied to their visa get up to 60 days to find new sponsorship, wind down their affairs, or leave the US voluntarily.
DHS Secretary Markwayne Mullin said that once a worker stops meeting their visa’s conditions, “such status…should definitively cease and the impacted alien should immediately depart” unless another lawful status applies.
The rule is open for public comment for 60 days from its September 11 publication date before DHS can finalize it.
Part of a Broader Crackdown
The grace period took effect on January 17, 2017, three days before President Trump’s first inauguration, and its removal is one of several moves tightening legal immigration since January 2025.
Todd Schulte of the immigration advocacy group FWD.us said “it seems like every week this administration announces a new step to make life more difficult for immigrants.”
Major H-1B sponsors, including Indian IT firms Tata Consultancy Services, Infosys, HCLTech, and LTIMindtree, alongside global consultancies like Deloitte, PwC, and EY, would face far tighter timelines managing layoffs of visa-sponsored staff.
Sources
- Federal Register (Public Inspection) — Eliminating the Discretionary 60-day Grace Period, DHS/USCIS
- Fox News — Trump admin proposes ending 60-day grace period after job loss for H-1B, other visa holders
- Business Recorder — Trump administration proposes waiving grace period for H-1B holders after job loss
- Onmanorama — H-1B visa holders may have to leave US immediately after job loss
- NTD — DHS Proposes Quickly Removing Visa Holders After Job Loss
- The Washington Post — New rule would require some visa holders to leave U.S. immediately after losing job
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