US White House Reviews DHS Proposal to Eliminate 60-Day...

The White House is reviewing a regulatory proposal from the Department of Homeland Security that would eliminate the 60-day grace period for foreign professionals working in the United States under nonimmigrant visas. If finalized, the rule will force high-skilled workers on H-1B, L-1, and O-1 visas to leave the country immediately or face unlawful status violations upon employment termination.

White House Reviews DHS Proposal to Eliminate 60-Day Visa Buffer

[WASHINGTON, D.C.] — A regulatory proposal submitted by the Department of Homeland Security (DHS) to the White House Office of Management and Budget (OMB) seeks to eliminate the established 60-day grace period for temporary foreign workers. Introduced in 2017, the 60-day buffer was designed to protect nonimmigrant visa holders and their dependents following sudden job loss, granting them time to secure new sponsorship, change visa categories, or arrange an orderly departure.

The proposed rule change targets several key specialty work categories, leaving foreign executives, engineers, and researchers without a transitional buffer if laid off. Regulatory filings confirm that OMB review represents the final administrative check before the rule is formally published in the Federal Register for public review.

Indian professionals face the highest exposure to this regulatory shift. Official immigration data indicates that Indian nationals accounted for 71 percent of all approved H-1B visa applications in fiscal year 2024. The policy change directly impacts a broader community of approximately 5.2 million Indian-Americans residing across the country, many of whom hold temporary nonimmigrant employment status.

Affected Nonimmigrant Visa Categories and Indian Tech Talent Impact

The removal of the 60-day grace period applies across multiple specialty work visas that power the US technology, finance, and healthcare sectors. Foreign workers holding E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1, and TN visa classifications will lose the statutory protection that currently shields them from immediate out-of-status violations.

Under current rules, workers who experience sudden termination have two calendar months to secure a new employer sponsor, file a petition for a change of status, or prepare family logistics. Eliminating this period exposes workers to instant unlawful presence accrual upon termination, creating severe legal risks for future US visa applications.

The table below outlines the specific nonimmigrant visa classifications affected by the proposed DHS policy change:

Visa Category	Target Professional Group	Current Protection	Proposed Regulatory Shift
H-1B / H-1B1	High-skilled specialty occupation workers	60-day grace period to transfer employer	Immediate loss of legal status upon termination
L-1A / L-1B	Intra-company executive and specialized managers	60-day transitional job-search window	Instant departure requirement or status violation
O-1	Individuals with extraordinary ability	60-day grace period to secure new sponsor	Removal of transitional buffer period
TN (USMCA)	Canadian and Mexican professional workers	60-day grace period following job loss	Immediate out-of-status classification
E-1 / E-2 / E-3	Treaty traders, investors, and Australian specialty workers	60-day administrative transition period	Total elimination of post-employment grace period

Practical Challenges Facing Foreign Workers and Corporate Employers

Immigration attorneys and corporate human resource executives warn that removing the 60-day grace period creates overwhelming operational disruptions. Foreign professionals facing sudden layoffs would be forced to settle property leases, close domestic bank accounts, and withdraw school-aged children from educational institutions within days.

From a corporate perspective, the 60-day buffer provides US companies with necessary flexibility during corporate restructurings, mergers, and talent reallocations. Removing the grace period forces employers to manage abrupt terminations under heightened legal scrutiny, increasing compliance costs for technology firms that rely on global engineering talent.

Former policy advisors emphasize that stripping away transitional protections undermines the global competitiveness of the American labor market. Tech industry advocacy groups note that regulatory volatility risks driving top-tier foreign talent toward competing international markets such as Canada, the United Kingdom, and Australia, which offer more predictable post-employment transition pathways.

Regulatory Timeline: Federal Register Publication and Public Comment Window

The regulatory approval process follows strict administrative procedures under US administrative law. The submission of the rule to the OMB marks the initial federal review stage before public disclosure.

The table below outlines the mandatory administrative milestones required before any visa policy change takes effect:

Regulatory Milestone	Administrative Action	Current Status / Timeline
White House OMB Review	Inter-agency evaluation by OMB officials	Currently underway in Washington, D.C.
Federal Register Publication	Formal public release of proposed rule text	Pending completion of White House clearance
Mandatory Public Comment Period	30-day to 60-day public feedback window	Initiated upon official Federal Register posting
Public Feedback Review	DHS evaluation of public and industry comments	Following closure of public comment window
Final Rule Issuance	Publication of final rule and enforcement date	Effective 30 to 60 days post-final publication

Immigration experts advise foreign workers and corporate legal departments to monitor official announcements in the Federal Register. Precise implementation dates and potential grandfathering provisions will remain unconfirmed until the proposed rule text is publicly released.

Comparison: 2017 Grace Period Rule vs Proposed Regulatory Framework

Prior to 2017, federal immigration regulations did not provide a standardized post-employment grace period for nonimmigrant workers. Foreign professionals who lost their jobs faced immediate status loss, leading to chaotic departures and frequent visa overstay complications.

The implementation of the 60-day grace period rule in 2017 established a structured, humane framework that aligned immigration policy with modern corporate hiring timelines. The new DHS proposal marks a reversal of that policy, shifting federal immigration enforcement back toward a restrictive posture.

The table below compares key operational aspects of historical, current, and proposed US nonimmigrant visa rules:

Policy Dimension	Pre-2017 Policy	2017–Present Grace Period	Proposed DHS Regulation
Post-Layoff Buffer	No formal grace period	60 consecutive days	0 days (complete elimination)
H-1B Employer Transfer	High risk of status gap	Seamless transfer within 60 days	Immediate out-of-status upon termination
Family Logistics Window	Extremely constrained	60 days for lease and school wrap-up	Forced rapid departure
Corporate Transition Flexibility	Minimal flexibilities	High flexibility for talent hiring	Increased legal risk for US employers
Primary Policy Stance	Ad-hoc enforcement	Structured administrative relief	Strict regulatory oversight

Why This Matters for Foreign Professionals and Business Travellers

For foreign professionals and corporate travelers working in the United States, the potential loss of the 60-day grace period introduces major personal and professional risk. Without a transitional buffer, any sudden corporate layoff converts legal work authorization into an immediate status violation, threatening long-term permanent residency (green card) applications. High-skilled workers on H-1B, L-1, or O-1 visas should maintain updated emergency departure plans, keep liquid savings accessible, and consult immigration counsel immediately if corporate restructuring occurs. Employers will also face pressure to offer extended severance or non-work status arrangements to prevent immediate deportation risks for key foreign personnel.

Frequently Asked Questions

What is the US 60-day grace period for nonimmigrant visa holders?

The 60-day grace period is a regulatory protection introduced in 2017 that allows nonimmigrant visa holders (such as H-1B, L-1, and O-1) up to 60 consecutive days following employment termination to find a new employer sponsor, apply for a change of visa status, or prepare to leave the United States without violating immigration laws.

Which visa categories will be affected if the DHS proposal is finalized?

The proposed rule change targets nonimmigrant workers holding E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1, and TN visas, along with their dependent family members holding derivative visa statuses (such as H-4 and L-2).

When will the proposed elimination of the 60-day grace period take effect?

The proposal is currently under review by the White House Office of Management and Budget (OMB). Once cleared, it must be published in the Federal Register, followed by a mandatory 30-day to 60-day public comment period. The rule will not take effect until a final version is published following public comment review.