DHS Proposes Eliminating H-1B Grace Period: Indian Professionals Face Immediate Immigration Limbo After Job Loss

The Department of Homeland Security is reviewing a proposed rule that could eliminate the 60-day grace period currently available to certain nonimmigrant workers, including H-1B visa holders, after their employment ends. The proposal, titled “Eliminating the Discretionary 60-day Grace Period” (RIN 1615-AD22), was submitted to the White House’s Office of Information and Regulatory Affairs on August 6, 2026, for review.

The 60-day window has provided a crucial cushion for foreign workers facing sudden job loss, allowing eligible workers to remain in the United States for up to 60 days after employment termination to look for another qualifying job, transfer to a new employer, or seek immigration status changes without immediately leaving the country. This existing grace period was introduced in 2017 and covers several nonimmigrant categories, including E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1 and TN workers, along with eligible dependents.

The implications prove particularly severe for Indian professionals who comprise approximately sixty percent of H-1B visa holders. Eliminating the grace period would transform job loss into immediate immigration status violation, requiring workers to depart the United States within days or face deportation proceedings. Their dependents, whose legal status depends entirely on the principal visa holder, would experience parallel consequences.

Without the 60-day protection, losing a job would put affected workers’ immigration status at immediate risk, and their dependents could also face consequences because their status is tied to the principal visa holder. The removal of this protective mechanism occurs within broader Trump administration efforts to restrict H-1B accessibility and tighten immigration enforcement.

Legal immigration experts caution that the proposal fundamentally alters visa program dynamics, transforming what was conceptualized as temporary worker status into employment arrangements carrying substantially elevated termination risks. As the proposal undergoes White House review, professional communities within technology, healthcare, and engineering sectors—sectors heavily dependent on H-1B talent—await clarity regarding potential implementation timelines and transition provisions.