Washington, Aug 2026 : The Trump administration has completed its review of a proposal that could eliminate the discretionary 60-day grace period currently available to H-1B and other foreign professionals after their employment ends, a move that could create significant uncertainty for thousands of Indian workers and their families in the United States.
The proposal, titled “Eliminating the Discretionary 60-day Grace Period,” was submitted by the Department of Homeland Security (DHS) to the White House Office of Information and Regulatory Affairs on August 6. According to the official regulatory record, the review was completed on August 27, with the action marked “Consistent with Change.” This indicates that the proposal cleared the White House review process with modifications.
However, the proposal has not yet been publicly released, and its detailed provisions remain unavailable. As a result, the existing 60-day grace period continues to remain in effect and eligible foreign workers can still rely on the current rules.
The next stage would normally involve publication of the proposed regulation in the Federal Register. This would be followed by a public comment period during which individuals, businesses, community organisations and other stakeholders could submit their views. DHS would then be required to review the comments before issuing a final rule. Any changes would take effect only after completion of this regulatory process.
The proposal carries Regulatory Information Number 1615-AD22 and is being developed by US Citizenship and Immigration Services. The regulatory record describes it as a proposed rule that is not economically significant and is not subject to a specific legal deadline.
Under the existing rules, eligible foreign workers can receive a grace period of up to 60 consecutive days after their employment is terminated, or until the end of their authorised stay, whichever comes first. The provision gives workers time to secure new employment, obtain another employer willing to sponsor their visa, seek a change in immigration status or make arrangements to leave the United States.
The provision applies to H-1B workers as well as holders of L-1, O-1 and certain other temporary employment visas.
The potential elimination of the grace period is expected to be particularly significant for Indian nationals, who represent the largest group of H-1B beneficiaries. Indian professionals are heavily represented in the US technology, engineering, healthcare and other specialised sectors where employers frequently sponsor foreign workers.
Ajay Jain Bhutoria, a former member of the President’s Advisory Commission on Asian Americans, Native Hawaiians and Pacific Islanders, strongly criticised the proposal and argued that the existing protection should instead be expanded.
Bhutoria said eliminating the grace period would leave highly skilled workers with virtually no time to respond to sudden job losses. He argued that even the current 60-day period can be difficult for professionals to use effectively because finding a new employer and completing the required immigration procedures can take considerable time.
He also warned that the consequences would extend beyond individual workers to their families, who may suddenly have to make decisions involving housing, children's education, finances and other personal matters.
Bhutoria pointed to a recommendation he had presented to the White House AANHPI Commission in 2023 seeking an extension of the grace period from 60 days to 180 days. He said the recommendation was based on the realities of hiring in industries such as technology, healthcare and engineering, where recruitment can involve several rounds of interviews before an offer is made.
Once a new employer is identified, immigration paperwork and visa-transfer procedures can add further delays, he noted.
Bhutoria has urged community organisations and business leaders across the US to participate in the public consultation process if the proposal is published and oppose the elimination of the grace period.
The 60-day provision took effect in January 2017 as part of broader regulations covering high-skilled immigrant and non-immigrant workers. While eligible workers may receive the grace period during an authorised period of stay, immigration authorities retain discretion to shorten or deny it in individual circumstances.
The H-1B programme allows US employers to hire foreign professionals for specialised occupations requiring highly specialised knowledge and skills. Technology companies are among its biggest users, while Indian nationals have consistently constituted a substantial majority of approved H-1B beneficiaries.
For now, there is no immediate change to the rules. The proposal must still go through the Federal Register publication, public consultation and final rulemaking stages before the administration could implement any change to the existing 60-day protection.
