Trump administration proposes ending H-1B visa grace period after job loss

The Trump administration has proposed eliminating a 60-day grace period for certain immigrants, including skilled workers on H-1B visas, to remain in the US and seek a new sponsor after losing their job, according to a government notice. This proposed rule change would require individuals with H-1B and other temporary work visas to leave the country immediately upon job loss, potentially affecting top American tech companies that rely on foreign workers.

The proposed rule, published in the Federal Register by the US Department of Homeland Security (DHS), is part of President Donald Trump's efforts to limit legal immigration since taking office in January 2025. The DHS states that the jobs could be offered to American workers instead, but also presumes that companies will either retain the same positions for qualified US workers or go through the I-129 petition process.

The 60-day grace period, in place since 2017, provides foreign workers with time to find new employment or settle affairs before departure. Critics argue that the change would impose undue hardship on H-1B workers and their families who have established themselves in their communities. The proposed rule change would apply to various visa categories, including E-1, E-2, L-1, O-1, TN, H-1B1, and E-3 visas, as well as H-1B1 visas from Singapore and Chile and E-3 visas from Australia. The rule is subject to a two-month public comment period before potential implementation.