{
  "id": 362275,
  "title": "Thousands of H-1B Visa Holders Could Lose Key Layoff Lifeline Under New Plan",
  "url": "https://urgent.news/2026/08/09/thousands-of-h-1b-visa-holders-could-lose-key-layoff-lifeline-under",
  "topic": "world",
  "section": "World",
  "published": "2026-08-09T09:08:41.000Z",
  "source": {
    "name": "Newsweek",
    "slug": "newsweek",
    "url": "https://www.newsweek.com/h-1b-visa-holders-key-lay-off-lifeline-new-plan-12301388"
  },
  "original_language": "en",
  "account": "The Trump administration is proposing to eliminate a 60-day grace period for H-1B visa holders and other foreign employees after job losses, potentially leaving affected workers with fewer options to retain legal status following layoffs. The Department of Homeland Security (DHS) forwarded the proposal to the White House for review earlier this week. If implemented, this change would remove a safeguard that has been in place since 2017. Currently, many employment-based visa holders can remain in the U.S. for up to 60 days following job loss, enabling them to seek new employers, explore alternative immigration statuses, or arrange departure from the country. This proposal would eradicate that window, possibly exposing workers to a quicker loss of legal status after layoffs. The grace period applies to several categories of employment-based visas, including H-1B, H-1B1, L-1, O-1, TN, E-1, E-2, and E-3. According to immigration-policy organization FWD.us, there are approximately 730,000 H-1B visa holders residing in the U.S., along with roughly 550,000 dependent family members, indicating the breadth of potential impact from any changes to the program. The Trump administration has been focusing on raising employer costs for hiring foreign workers, tightening eligibility criteria, and altering visa issuance procedures. A plan to impose a $100,000 fee on certain new H-1B petitions for workers outside the U.S. was blocked by federal courts, while officials have also advocated for replacing the traditional H-1B lottery with a system prioritizing higher-paid workers. Recently, DHS finalized a rule expanding biometric screening fees to certain H-1B and L-1 visa extension petitions, adding to employers' expenses when retaining foreign employees. This proposal is still under review and has not been published in its entirety. The existing 60-day grace period remains active while the rulemaking process continues. If approved, it would be published in the Federal Register and subject to public comment before a final decision. The complete proposal details will only become known once the administration releases the text publicly. The grace period was introduced during the final days of the Obama administration and became effective in 2017 as a means to provide flexibility for highly skilled foreign workers facing job losses. Securing a new job after a layoff is just one aspect of the process for H-1B workers. A new employer must also agree to sponsor the worker and submit the necessary immigration paperwork. Removing the grace period could impose greater pressure on workers to swiftly find a new sponsor, secure alternative immigration status, or leave the U.S. before falling out of status. This proposal is still under review, and the current grace period will continue until the administration completes the rulemaking process and enacts a final rule.",
  "summary": "The Trump administration has proposed to eliminate the 60-day grace period for H-1B visa holders and other foreign workers after they lose their jobs, a move that could leave affected individuals with fewer options for maintaining legal status. This change, which has been in place since 2017, would remove a safeguard allowing workers to find new employment, secure a different immigration status, or make plans to leave the country within 60 days of job loss. The proposal, sent to the White House for review, could significantly impact the approximately 730,000 H-1B visa holders and their dependent family members in the United States.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}