Department of Homeland Security Proposes To End H-1B Grace Period

The Department of Homeland Security (DHS) wants to end the 60-day grace period that lets H-1B workers keep their status after losing a job.

On August 6, 2026, the agency sent the proposal, titled “Eliminating the Discretionary 60-day Grace Period” (RIN 1615-AD22), to the White House's Office of Information and Regulatory Affairs (OIRA) for review.

The contents of the proposed rule are not public yet, and remain under White House review. If OIRA approves it, DHS will then publish it to the Federal Register.

Since 2017, the grace period has given H-1B workers and other nonimmigrants up to 60 days to find a new sponsor, change status, or leave the country after their job ends. Manifest immigration attorney Ana Gabriela Urizar says removing it would mean an immediate loss of legal status for anyone hit by a layoff.

“The 60-day grace period gives H-1B workers a critical window to find a new employer and continue the lives they have built in the United States. These are individuals who may have mortgages or leases, car payments, and children enrolled in school,” she says. “Without that grace period, an unexpected layoff would not simply mean losing a job, it could immediately put a family’s ability to remain in the United States into question. Sixty days may seem like a small amount of time, but for a worker trying to secure new sponsorship and keep their family’s life stable, it can make an enormous difference.”

This is a developing story. Our team will monitor this proposed rule and update this article as more information becomes available.