USCIS 2026 Alert: 60-Day Grace Period for H-1B & Work Visa Holders Faces Elimination

The U.S. Citizenship and Immigration Services published a Notice of Proposed Rulemaking that would eliminate the 60-day grace period currently afforded to nonimmigrant workers in H-1B, H-1B1, E-1, E-2, E-3, L-1, O-1, and TN status who abruptly lose their employment. The grace period, which has been in place since 2017, currently allows foreign workers who are laid off or terminated to remain in the U.S. while seeking new employment or wrapping up their affairs. USCIS argues the elimination would align regulations more closely with statutes that tie work authorization directly to active employment. The agency also claims the change would reduce administrative costs related to calculating and adjudicating grace period eligibility — though critics note that H-1B and related petition filing fees have risen over 80% since 2017, suggesting the current budget should already accommodate the administrative load. However, USCIS itself acknowledges a significant downside: abolishing the grace period would lead to a surge in removal proceedings, further straining immigration courts that are already severely backlogged. This is a notable admission that the proposal may create more systemic problems than it solves. For individuals currently on nonimmigrant work visas and pursuing an EB-3 or other employment-based green card, this change would significantly increase vulnerability during job transitions — a common occurrence in the multi-year green card process. Workers would need to secure a new employer sponsor almost immediately upon job loss, with no buffer time. Public comments on the proposed rule are being accepted through November 10. Immigration advocates and affected workers are encouraged to submit comments opposing the elimination of the grace period. The final rule is not guaranteed to pass as proposed, and advocacy during the comment period can influence the outcome.