H-1B 60-Day Grace Period Proposal 2026: What Punjab Students and H-1B Workers Should Know
Short answer: The US Department of Homeland Security (DHS) has proposed removing the up to 60-day grace period that currently lets H-1B, L-1, O-1, TN, E and H-1B1 workers (and their dependants) stay in the US after their job ends. It is a proposed rule, not law yet. If it is finalised as written, a worker who loses their job would be treated as out of status the day after employment ends. The separate grace period for F-1 students after finishing their course is not part of this proposal.
Many families in Jalandhar, Ludhiana and across Punjab have a son or daughter working in the US on an H-1B, or a student planning a US master's with an H-1B job in mind. The H-1B 60-day grace period proposal matters to both groups, because it changes what happens after a layoff. Below we explain what DHS has proposed, what has not changed, and how Punjab students and workers can plan.
What Is the H-1B 60-Day Grace Period Today?
Under current US regulations (8 CFR 214.1(l)(2)), certain work-visa holders whose employment ends before their authorised stay expires can remain in the US for up to 60 days, or until their authorised stay ends if that is sooner. During this time they can look for a new employer, file to change status, or prepare to leave. Their dependants keep their status during the same window.
The proposal covers these classifications: E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1 and TN, plus their dependants (for example H-4 spouses and children).
What the H-1B 60-Day Grace Period Proposal Would Change
USCIS published the notice of proposed rulemaking, "Eliminating the Discretionary 60-Day Grace Period," in the Federal Register on 11 September 2026 (Docket USCIS-2026-0364, RIN 1615-AD22). According to the proposed rule document:
The up to 60-day grace period in 8 CFR 214.1(l)(2) would be removed completely. DHS says it considered shortening the period instead but rejected that option.
A worker whose employment ends, and their dependants, would be treated as failing to maintain status the day after the job ends.
DHS says affected workers could seek to return to the US in an employment-based status after finding new qualifying work from abroad.
The public comment period runs for 60 days from publication, which places the deadline on or about 10 November 2026. Comments go through the regulations.gov docket.
Current Rule vs Proposed Rule
Situation | Current rule | If the proposal is finalised as written |
|---|---|---|
H-1B worker laid off mid-way through approved stay | Up to 60 days (or until stay ends, if sooner) to find a new employer, change status or leave | Treated as out of status the day after employment ends |
H-4 spouse and children of that worker | Keep status during the grace period | Also treated as out of status the day after |
L-1, O-1, TN, E-1, E-2, E-3, H-1B1 workers | Same 60-day grace period | Same removal applies |
F-1 student after completing a programme | Separate F-1 grace period | Not changed by this proposal |
Status today | In force | Proposed only; not yet law |
What It Means for Punjab Students Planning a US Degree
If you are a student from Punjab planning an MS in the US, this proposal does not change your F-1 visa or the time you get after completing your course. DHS cites the F-1 grace period only as a comparison. However, it does affect the long-term picture:
The H-1B stage becomes less forgiving. If you later move to an H-1B and lose that job, you may have little or no time to find a new employer before falling out of status.
It adds to other proposals. Together with the H-1B $100,000 fee update and the proposed OPT fee, it is one more reason to plan your US budget and career path carefully before you commit.
Choose your course and university for employability. A strong, in-demand programme gives you more options if job markets change.
What It Means for Punjab Workers Already on H-1B
If you or a family member is working in the US on an H-1B, the current 60-day grace period still applies until a final rule is published and takes effect. Sensible steps now:
Keep copies of your offer letter, pay slips, I-797 approvals and I-94 record in one place.
Know your I-94 end date, since any grace period can never run past it.
Keep your resume and professional network active so you can move quickly if needed.
If you face a layoff, speak to a qualified US immigration attorney straight away about options such as a new employer petition or a change of status. Do not rely on social media timelines.
Watch the Federal Register and USCIS for the final rule, which may differ from the proposal.
Timeline at a Glance
11 September 2026: proposed rule published in the Federal Register.
On or about 10 November 2026: public comment period closes.
Next: DHS reviews comments and may publish a final rule, change it or drop it. There is no confirmed effective date yet.
Talk to World Immigration Terminal
Weighing a US master's against Canada, the UK, Australia or Germany? Book a consultation with World Immigration Terminal in Jalandhar. We will compare costs, post-study work options and long-term pathways for your profile, so your decision is based on current rules rather than rumours. For visa interview preparation, see our F-1 visa interview questions guide.
Last verified: November 2026, using the DHS/USCIS proposed rule (Federal Register document 2026-18631) and the regulations.gov docket. This is a proposed rule and may change. World Immigration Terminal does not provide US legal advice; H-1B workers facing job loss should consult a licensed US immigration attorney and check USCIS for the latest rules.
Frequently Asked Questions
Has the H-1B 60-day grace period been removed?
Not yet. DHS published a proposed rule on 11 September 2026 to remove it. The current grace period still applies until a final rule is published and takes effect.
Who would be affected by the proposal?
Workers in E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1 and TN status and their dependants, such as H-4 spouses and children, according to the proposed rule.
Does the proposal affect F-1 students or OPT?
The proposal does not change F-1 rules. DHS mentions the F-1 grace period only as a comparison, and F-1 is not one of the classifications listed in the proposal.
What happens to an H-4 spouse if the H-1B worker is laid off under the new rule?
Under the proposal, both the worker and their dependants would be treated as failing to maintain status the day after the worker's employment ends.
When is the deadline to comment on the proposed rule?
Comments are due 60 days after the 11 September 2026 publication, which is on or about 10 November 2026, through regulations.gov docket USCIS-2026-0364.
Should Punjab students still consider the US for a master's degree?
The US can still be a good choice for the right course and budget, but rules for OPT, H-1B fees and grace periods are tightening. Compare options carefully and plan for costs and job-market risks before applying.
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