The United States could soon tighten the rules governing H-1B workers who lose their jobs, as the Department of Homeland Security (DHS) advances a proposal to eliminate the existing 60-day grace period.

The proposal, identified as RIN 1615-AD22, has cleared review by the White House's Office of Information and Regulatory Affairs (OIRA), a significant step before a proposed regulation can be formally published. The development has put H-1B workers, employers and immigration professionals on alert.

What is the 60-day H-1B grace period?

Under regulations introduced in 2017, eligible H-1B workers whose employment ends can generally remain in the United States for up to 60 consecutive days, or until the end of their authorised validity period, whichever comes first.

The window gives affected workers time to search for another employer, secure a new H-1B sponsor, seek a change of immigration status or make arrangements to leave the country. Similar provisions apply to certain other nonimmigrant categories.

Why is the proposed change significant?

If DHS ultimately removes the provision, workers could lose the immigration cushion that currently follows an unexpected layoff or termination.

For an H-1B professional, finding a new employer is not simply a matter of securing another job. The prospective employer may also need to complete the required immigration process. Without the existing grace period, that process could become considerably more time-sensitive.

The potential change could therefore have a particularly significant impact on technology and other highly skilled foreign professionals whose legal status is closely linked to their employment.

Why Indian workers are watching closely

Indian nationals represent a substantial share of H-1B beneficiaries, making any major change to the programme especially important for Indian professionals working in the United States.

A shorter or eliminated post-employment window could put additional pressure on workers who suddenly lose their jobs, particularly those with families, long-term commitments or ongoing immigration applications.

Has the 60-day grace period ended?

No.

This is the most important point for H-1B workers right now.

The DHS proposal has cleared a key White House review, but that does not mean the current regulation has already been cancelled. The proposal still needs to be publicly released and go through the applicable federal rulemaking process, including an opportunity for public comments, before any final rule can take effect.

Until that process is completed and a final rule becomes effective, the existing 60-day provision remains in place.

What happens next?

The next major development is expected to be the proposal's publication in the Federal Register. That would provide more details about exactly how DHS intends to change the current rules and would begin the public-comment stage.

For now, H-1B workers should not assume that the grace period has disappeared. The proposal represents a significant policy development, but it is not yet a final rule.