DHS Proposal Could End the H-1B 60-Day Grace Period
- ARCFE U.S.
- 2 days ago
- 3 min read
The U.S. Department of Homeland Security (DHS) is considering a proposal that could eliminate the 60-day grace period available to certain H-1B professionals and other nonimmigrant workers after their employment ends. The proposal is not yet in effect.
On August 6, 2026, DHS submitted a proposed rule titled “Eliminating the Discretionary 60-day Grace Period” (RIN 1615-AD22) to the White House Office of Information and Regulatory Affairs (OIRA) for review. The official regulatory listing identifies it as a proposed rule, but the text has not yet been released.
That distinction matters. No final rule has been published, no effective date has been announced, and the current 60-day grace-period regulation remains in place.
What the H-1B 60-Day Grace Period Provides Today
Under the current version of 8 CFR § 214.1(l)(2), eligible workers in H-1B and certain other employment-based nonimmigrant classifications may be treated as having maintained status after employment ends for up to 60 consecutive calendar days—or until the end of their authorized validity period, whichever comes first.
The rule also covers eligible dependents and applies to the E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1, and TN classifications. It is generally available once during each authorized validity period and remains discretionary.
The grace period can give an affected worker time to pursue a qualifying change of employer, request a change of status, or prepare to leave the United States. As USCIS has explained, the available options and their consequences depend on the individual case, and not every option provides employment authorization.
What the H-1B 60-Day Grace Period Proposal Could Change
The proposal’s title indicates that DHS intends to eliminate the discretionary 60-day grace period, but its exact scope, transition rules, and proposed effective date will not be known until the text is published.
OIRA review is an early step in the federal rulemaking process. If the proposal clears review, DHS would generally publish it in the Federal Register and allow the public to comment before any final regulation could take effect.
For now, H-1B professionals should not treat the grace period as already canceled. If DHS ultimately finalizes a rule eliminating it, however, an unexpected job loss could leave affected workers and their families with far less time to protect their immigration position.
What H-1B Professionals Should Do Now
The practical response is earlier planning—not panic. H-1B professionals may want to:
Confirm the expiration dates on their Form I-94 and approval notices rather than assuming a full 60-day period will always be available.
Keep immigration, employment, and dependent records organized and accessible.
Contact qualified immigration counsel promptly if employment ends or a material job change is expected.
Review both employer-sponsored and independently available immigration strategies before a time-sensitive event occurs.
No one should file a case or change status solely because a proposal is under review. The right strategy depends on current law, the person’s immigration history, family circumstances, and long-term plans.
Why Employer-Independent Planning May Matter
H-1B status is tied to qualifying employment and employer sponsorship. For eligible families with sufficient capital and long-term plans in the United States, the EB-5 Immigrant Investor Program may provide a separate path to permanent residence based on a qualifying investment, lawful source of funds, and job creation—not continued sponsorship by a particular employer.
EB-5 is not a conversion of H-1B status, and it is not right for every family. It also does not guarantee a green card or the return of investment capital. ARCFE’s guide, EB-5 for H-1B Professionals: A More Independent Path Worth Reviewing Early, explains the structural differences and the conditions under which concurrent filing may be available.
The ARCFE View
The most important takeaway from this proposal is not that H-1B workers must act immediately. It is that an immigration plan built around a single employer can become time-sensitive quickly when policy or employment circumstances change.
ARCFE helps eligible families evaluate EB-5 from the perspective of a New York–based regional center backed by nearly two decades of real estate lending experience through iCross Capital. Immigration strategy should be reviewed with qualified counsel, while any EB-5 decision should also include careful project, financial, and risk analysis.
To learn more, read How to Choose an EB-5 Regional Center, review Track Record, Transparency, and Trust: How to Evaluate an EB-5 Regional Center, or explore the ARCFE EB-5 Process.
Speak with our EB-5 specialist and learn how the program can help you achieve permanent residency. Complete the form and our team member will give you a call back.
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