US Proposes Elimination of 60-Day Grace Period for Foreign Workers
Washington: A new regulation has been proposed by the United States government that seeks to abolish the 60-day grace period previously afforded to specific foreign workers, including those holding H-1B visas, upon termination of their employment.
This measure is poised to have a profound impact on Indian technology professionals and other H-1B visa holders employed by various tech firms.
The H-1B visa serves as a non-immigrant visa, facilitating U.S. companies’ ability to engage foreign workers in specialized occupations that necessitate advanced theoretical or technical skills.
Technology corporations in the United States heavily rely on this visa, recruiting tens of thousands of workers annually from nations such as India and China.
The proposal, designated as “Eliminating the Discretionary 60-Day Grace Period,” is set to appear in the Federal Register on Friday. The Department of Homeland Security (DHS) has encouraged public commentary in the subsequent 60 days.
Should this rule be finalized, foreign workers encountering job loss during their visa tenure would be mandated to vacate the United States immediately, unless they possess alternative authorization to remain.
“This proposal reinstates a direct correlation between a nonimmigrant’s status and the specific employment or activity that justified their admission into the United States, while simultaneously reducing administrative burdens,” stated the DHS.
Under the new directive, the DHS intends to rescind the discretionary maximum 60-day grace period currently granted to E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1, and TN nonimmigrants, along with their dependents, when employment ceases.
This grace period was initially instituted under regulations from the Obama administration to facilitate easier transitions for workers seeking new employment opportunities without having to leave the U.S.
Within its proposal, the DHS acknowledges that eliminating this grace period could lead to the issuance of Notices to Appear (NTA) for certain impacted foreign nationals, marking the initial step toward potential removal proceedings, according to Fragomen, a prominent immigration law firm.
The likelihood of NTA issuance increases for individuals under nonimmigrant categories that necessitate prompt employer notifications to authorities following employment cessation, including H-1B, O-1, and P visa holders.
The 60-day grace period rule was established in 2016 with the intent of enhancing job portability, stability, and flexibility for high-skilled labor, ultimately simplifying the process for U.S. employers to engage and transition nonimmigrant talent.
The regulation allowed those affected to seek alternative employment within the same nonimmigrant category or change their status without the requirement to leave the United States, regardless of whether the employment termination was voluntary or involuntary.
According to DHS estimates, the number of primary beneficiaries experiencing either job cessation or voluntary employment changes is projected to reach 65,752 in 2025, peaking at 80,034 in FY 2023 and dipping to 40,959 in FY 2021.
Between FY 2021 and FY 2025, 5.77% of 328,758 primary beneficiaries who either lost their job or altered their employment circumstances had new petitions for nonimmigrant worker status submitted on their behalf by new employers.
If the proposal is ultimately enacted, workers facing job termination will be required to leave the country and reapply at an American embassy or consulate upon securing an offer from another U.S. employer.
U.S. law allocates 65,000 H-1B visas each year, with an additional 20,000 reserved for individuals possessing advanced degrees from accredited American institutions.
This initiative marks another step by President Donald Trump to curtail legal immigration since his re-election in January 2025.
Source link: Edexlive.com.
