New England Biz Law Update
The U.S. Department of Homeland Security is advancing a proposal that would eliminate the discretionary 60-day grace period currently available to certain H-1B and other workers whose employment ends before their authorized stay expires.
The proposal has been submitted to the White House Office of Information and Regulatory Affairs for review but has not yet been published in the Federal Register. As a result, the existing 60-day grace period remains in effect for now.
Current rule
Under current regulations, eligible H-1B workers and certain other employees may receive a grace period of up to 60 consecutive days after their employment ends, or until the end of their authorized stay, whichever comes first.
That period can give a terminated or laid-off employee time to find another sponsoring employer, seek a change of immigration status or make arrangements to leave the United States.
DHS is now considering eliminating that discretionary period. The full proposed rule has not yet been released, so important details remain unknown, including whether DHS would replace the 60-day period with a shorter window or provide exceptions in particular circumstances.
Possible effect on hiring
If the grace period is eliminated, the effects would extend beyond employees who lose their jobs. Employers seeking to hire H-1B workers who have recently been laid off could have significantly less time to prepare and file the necessary immigration paperwork.
It could also make immigration considerations more immediate when employers plan reductions in force or terminate sponsored employees.
For now, employers can continue operating under the existing rules. But organizations that employ H-1B and other covered workers should watch for publication of the proposed rule and be prepared to review their recruiting, offboarding and immigration processes if the grace period is ultimately shortened or eliminated.
