The Workers Rights 
The Trump administration is proposing to scrap the 60-day grace period for the H-1B skilled foreign worker visa, which allows those who have lost their jobs to find another employer, according to a draft regulation announced by the U.S. Citizenship and Immigration Services (USCIS). As of now, upon the expiration of employment, H-1B visa holders would have to depart the country. The rule is not final yet and is open for public comment.
Quick Facts
| Detail | Current Rule | Proposed Rule |
| If a worker loses his job, he has a grace period. | 60 days | 0 days — immediate departure |
| Visa types affected | H-1B, L-1, O-1, TN, and others | Same categories |
| Grace period introduced | 2017 (Obama-era rule) | The Option for removal is 2026. |
| Who was responsible for suggesting the change? | — | The Trump administration is in charge of USCIS. |
| Is it final? | — | The period of public comment is not open. It is not open for public comment. |
| Reason cited | — | Reduce administrative costs |
What Is the H-1B Grace Period?
The H-1B grace period was established in 2017 and is a 60-day period for skilled foreign workers who lose their jobs to remain in the United States. The window allows workers to look for a new sponsor or file for a change of status or exit. If a worker’s legal status is not extended by it, it will expire on the same day as their employment, resulting in unlawful presence and re-entry bars of 3 or 10 years.
The grace period is valid for H-1B, L-1, O-1 and TN visa holders, which include a significant portion of the skilled foreign labour force in the United States.
What Trump’s Proposed Rule Would Change
On September 10, 2026, USCIS published the draft rule in the Washington Post and Reuters reports. The regulation from 2017 would be replaced by the proposed new one. Under the new rule:
- Those who lost their job would be without a grace period to stay in the country legally with an H-1B.
- The workers would have to leave at once or have permission to work secured already.
- The reason given by the administration is to save on administrative costs.
This move is part of a larger effort to limit legal immigration. In August 2026, the same administration proposed a $103,000 sponsorship fee for H-1B sponsorships, which sparked a lawsuit. The effects of the grace period rule, if enacted, would be immediate and devastating for H-1B workers facing job loss.
Why Indian H-1B Workers Are Most Exposed
The biggest group of H-1B workers in the US are Indian nationals. For them, it’s a 60-day buffer, not a matter of procedure: it may mean they are forced to leave with no time to:
- Apply for an H-1B transfer to a different employer
- Make school, home, or money arrangements for family
- Do not cause a re-entry ban for the United States that lasts several years.
The protected status would also expire for H-4 dependent visa holders (usually spouses and children of H-1B holders).
With vs. Without the Grace Period
| Scenario | With 60 Days | Without Grace Period |
| Got laid off today | 60 days to find a new sponsor | Immediately must leave or have alternate status |
| Transferring an H-1B is in progress. | Can wait until the transfer is completed | The risk of transferring timing becomes legally dangerous. |
| Family on H-4 visa | The same window you used to create the window form. | The status will also be terminated at once. |
| Kids in US schools | Time to plan transitions | The absence of a buffer for arrangements. |
Is This Rule Final?
No. The rule is currently in draft form and open for public comment – meaning that individuals, employers, and attorneys can formally comment on the rule before it is finalised. There is a high likelihood that there will be legal challenges. However, the legal immigrants who enjoy the visa program should not take this lightly when the administration has shown it is capable of cutting off legal immigration.
What H-1B Workers Should Do Right Now
- Seek advice from an immigration lawyer – particularly if you are unsure of your employment prospects.
- Understand the transfer options – should the H-1B grace period be eliminated, a pending transfer is the only legal avenue for you.
- Don’t wait to finalise – begin contingency planning now
- Provide a public comment – workers and companies whose interests are impacted will be able to comment formally during the comment period.
FAQs
Will this apply to H-4 dependents also?
Yes. H-4 visa holders are a part of the primary H-1B worker. The loss of grace period protection is the loss of grace period protection to the family.
If the rule is passed, will an H-1B transfer offer any protection for workers?
Only if the transfer is filed and pending under portability rules prior to the end of the job. If there is no grace buffer, the timing is very critical.
When might this be in effect?
There is no announced date for finalisation. First, the public comment period needs to end, and there is a high likelihood that this will be challenged in court.
Does it impact only H-1B visas?
No, H-1B, L-1, O-1 and TN visas are covered.
Global Worker Rights Issues You Should Know
Who Pays Rising H-1B Extension Costs?
Check out what workers can do if employers refuse payment.
How Do Malaysian Workers Navigate Singapore?
Find the key housing, economic and retirement challenges.
Could UK Bosses Really Face Jail?
Uncover what the illegal hiring crackdown means for workers.
Why Are Ceuta Migrants Returning?
Browse the food, safety and migration pressures driving returns.
Can Europe Solve Its Labour Shortage?
See why migration controls clash with growing worker demand.
