Laid Off on H-1B: The 60-Day Grace Period Explained

Updated 2026-10-216 min readNot legal advice in W X

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If you are laid off on H-1B, you may have up to 60 consecutive days to stay in the US and act. The period ends sooner if your authorized stay on your I-94 ends first. During that time you can find a new sponsor, change to another status, or prepare to leave.

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How the grace period works

The rule is in 8 CFR 214.1(l)(2). USCIS has archived its older web guidance for workers whose jobs end, so rely on the regulation and current legal advice.

It lasts up to 60 consecutive calendar days, or until your authorized validity ends, whichever is shorter.
It starts the day after your employment ends.
It applies whether you quit or were let go.
It is available once per authorized petition validity period.
It is discretionary. USCIS decides whether to grant it.
Leaving the US ends it.

When the 60-day clock starts

Under 8 CFR 214.1(l)(2), the period follows the end of the employment your status was based on. In practice, it starts the day after your employment ends.

USCIS often works out that date from payroll records. DHS says in its September 2026 proposal that officers may have to infer the end date by prorating the last paycheck. Keep a letter that states your last day.

Severance does not extend it. A 1999 legacy INS letter said 60 days of severance after termination did not keep a worker in status, and attorneys still cite it.

Paid notice or garden leave can differ if you stay an employee on regular payroll until a set end date. As of October 2026, attorneys generally treat that payroll end date as the last day of employment. Get that date in writing.

Top H-1B transfer filers, 2025US Department of Labor data

Employer	Transfers	All filings	Median pay
Amazon.Com Services LLC	2,382	14,047	$155k
Meta Platforms Inc	1,437	5,492	$204k
Compunnel Software Group Inc	1,041	2,276	$110k
Nvidia Corporation	1,036	1,863	$187k
Apple Inc	916	6,539	$175k
Microsoft CorporationGC frozen	879	7,840	$173k

Every sponsor, with their open jobsSee the list ›

Is the 60-day grace period being removed?

Not yet. On September 11, 2026, DHS proposed removing the discretionary grace period (91 FR 57807, docket USCIS-2026-0364).

It would cover E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1 and TN workers and their dependents. If finalized, you would fall out of status the day after your job ends unless another status or filing covers you.

Comments are due November 10, 2026. Nothing changes until DHS publishes a final rule with an effective date. Even so, act early in the window.

Option 1: A new H-1B petition

A new employer can file an H-1B petition for you during the grace period. Under portability, you may start work once USCIS receives a nonfrivolous petition.

The petition must include a certified Labor Condition Application. DOL typically certifies LCAs within seven working days.

Premium processing gets USCIS action within 15 business days. That helps if your grace period is running short.

Look for employers who sponsor often. Our H-1B sponsors list and H-1B jobs by role only include employers that filed H-1B petitions in 2025.

Option 2: Change to another status

You can file Form I-539 to change status. A timely, nonfrivolous filing stops unlawful presence from building while it is pending.

That protection holds only if you did not work without authorization and kept your status before filing. If the request is denied, unlawful presence starts the next day.

Common choices include:

H-4, if your spouse holds H-1B status
F-1, if you will study
B-2 visitor status, for a real temporary visit. Since 2026, USCIS has questioned these filings more closely
Another work status such as TN, E-3 or H-1B1, if you qualify

What B-2 status allows

B-2 status does not allow any employment. It is for a temporary visit, such as travel, family or wrapping up personal affairs.

USCIS has archived its old page that called job searching an allowed B-2 activity. Law firms report requests for evidence and denials since late 2025 when the stated purpose is an open-ended job search.

Portability generally does not cover people in B-2 or with a B-2 change pending. If a new employer files an H-1B, you usually wait for approval and its start date before working.

If the B-2 or the H-1B change is denied, or the petition asks for consular notification, you must leave and come back in a work status. Details are in our H-1B to B-2 guide.

Option 3: Adjustment of status or a compelling circumstances EAD

Some people can file for a green card (Form I-485) and stay while it is pending. Certain self-petitioners, such as EB-1 applicants, may file I-140 and I-485 together.

Others may qualify for a compelling circumstances work permit. You need an approved I-140, no visa number available, and compelling circumstances.

That permit lasts up to one year. While you use it, you are no longer in nonimmigrant status, though you are in an authorized stay.

Working on it also limits later options. For example, a new H-1B would require processing abroad. Get legal advice before choosing this path.

Option 4: Leave the US

If nothing is filed in time, you and your dependents may need to leave. That is within 60 days or by the end of your validity, whichever is shorter.

If your employer dismisses you before your period ends, it must pay reasonable transportation costs home. This applies if you choose to leave.

After you leave, you can still seek a new H-1B job. You may be readmitted for the time left on your H-1B period.

If your new offer is delayed or falls through

What counts is when the new petition or change-of-status request is filed, not approved. File before the window closes.

If an offer slips toward the end, you can file Form I-539 for B-2 or H-4 first. A timely filing stops unlawful presence from building while it is pending.

If a new employer withdraws after you started there, stop working for it and talk to an attorney about the time you have left.

Revoked petitions, rehiring and Notices to Appear

Under 8 CFR 214.2(h)(11), your employer must notify USCIS when it no longer employs you. Employers usually send a written withdrawal, which automatically revokes the approval. That is routine after a layoff.

If you are rehired into the same job before the employer withdraws the petition, and it is still valid, attorneys generally read that you can resume work under it. Once it has been withdrawn, the employer must file a new petition first. USCIS no longer publishes current guidance on this, so confirm with a lawyer.

A Notice to Appear (NTA) starts removal proceedings. A February 28, 2025 USCIS memo (PM-602-0187) widened when officers issue them. Since mid-2025, law firms have reported NTAs sent to some laid-off H-1B workers, some still inside the 60 days.

These reports are anecdotal, and USCIS has announced no policy aimed at the grace period. If you get an NTA, do not ignore it. Contact an attorney quickly.

Things to know about your family

The grace period rule in 8 CFR 214.1(l)(2) covers you and your dependents. So your H-4 spouse and children keep their status during it.

An H-4 EAD depends on H-4 status, and USCIS generally sets its validity to match the I-94. As of October 2026, immigration attorneys generally read this to mean an H-4 EAD stays usable during your grace period.

Your family's H-4 status depends on yours. If you leave or fall out of status, their H-4 status, and generally any H-4 EAD, end too. See our H-4 EAD guide.

Does this apply to L-1, TN or E-3?

Yes. The same rule and limits cover E-1, E-2, E-3, H-1B, H-1B1, L-1, O-1 and TN workers.

H-1B portability does not apply to L-1, TN or E-3, so a new employer usually needs an approval before you start. An L-1 worker moving to H-1B may also need the lottery.

A note on the $100,000 fee

USCIS guidance says the payment can apply if you are not in valid status, or leave before a change of status is decided. A court vacated that guidance in June 2026, and the issue is still moving.

See our page on the H-1B $100,000 fee for the latest.

This is general information, not legal advice. Confirm your situation with an immigration attorney.

Questions

Is the H-1B grace period always 60 days?

No. It is up to 60 days, or until your petition validity ends, whichever is shorter. USCIS grants it at its discretion.

Can I work during the grace period?

No, unless something else authorizes it. Once a new employer files a nonfrivolous H-1B petition, portability may let you start.

Can I use the grace period more than once?

It is available once per authorized petition validity period.

Can I switch to B-2 while I look for a job?

You can file Form I-539 to change to B-2, but you cannot work, and law firms report denials when job searching is the main purpose. Portability generally does not cover B-2, so a new H-1B job usually waits for approval.

Does my old employer owe me anything?

If it dismisses you before your period ends, it must pay reasonable transportation costs home if you choose to leave.

Is the H-1B 60-day grace period being removed?

Not as of October 21, 2026. DHS proposed removing it on September 11, 2026, with comments due November 10, 2026. The grace period stays in effect unless and until a final rule takes effect.

How long can I stay in the US after an H-1B layoff?

Up to 60 days starting the day after your job ends, or until your authorized stay ends if sooner. A timely filing, such as a new H-1B petition or Form I-539, can let you stay while it is pending.

Does severance pay extend my 60-day grace period?

Usually no. USCIS ties the start to the end of your employment, typically your last paid day of salary or wages. Paid leave while you are still an employee can be different.

Can I transfer my H-1B during the 60-day grace period?

Yes. A new employer can file an H-1B petition within the window, and under portability you can start work once USCIS receives it.

What happens to my spouse's H-4 EAD if I am laid off?

It stays valid during your grace period. If you leave the US or lose status, your spouse's H-4 status and H-4 EAD generally end with it.

If I leave the US after a layoff, can I come back on H-1B later?

Yes. A new employer can file while you are abroad, and you can be readmitted for the time left on your H-1B period. Check the $100,000 fee status first, since it targeted petitions for workers outside the US.