Losing a job on an H-1B adds immigration deadlines on top of everything else. This guide covers the 60-day grace period, your transfer options, and the steps to protect your status.
When your H-1B employment ends, whether by layoff, termination, or resignation, federal regulations allow a grace period of up to 60 consecutive calendar days. During this window, you are considered to be in a period of authorized stay and can take steps to maintain your status.
The grace period starts the day after your last day of paid employment. That means the day after your final paycheck date, not the day you were told about the layoff. If your employer keeps you on payroll during a notice period or garden leave, the clock does not start until that pay stops.
There are limits. You get one grace period per petition validity period. If you were laid off by Employer A, used part of the grace period, and then returned to Employer A on the same petition, you do not get a second 60 days. If you transfer to Employer B on a new petition and are later laid off again, you would be eligible for a new grace period under that new petition.
The grace period cannot extend beyond the end date on your I-94. If your I-94 expires in 30 days, your grace period is 30 days, not 60.
You cannot work during the grace period unless a new employer has filed an H-1B change-of-employer petition on your behalf. You also cannot travel internationally during the grace period. Leaving the country ends the grace period, and re-entry would require a valid visa stamp and a new petition.
If you find a new employer willing to sponsor your H-1B, the new employer files an H-1B change-of-employer petition (Form I-129) with USCIS. This is commonly called an H-1B "transfer," though technically it is a new petition.
Key points:
You can start working for the new employer as soon as the petition is filed (once you have the I-797 receipt notice), without waiting for approval. This is a significant advantage over other visa categories.
You are cap-exempt. If you were already counted against the H-1B annual cap, your transfer is not subject to the lottery. You can transfer at any time of year.
File within the 60 days. The petition should be filed while you are still in the grace period. If you miss the window, your options narrow significantly. Some attorneys have successfully filed after the 60 days, but this is risky and depends on the facts of your case.
Premium processing is available. For an extra fee, USCIS will adjudicate the petition within 15 business days. Given the time pressure of the grace period, most immigration attorneys recommend premium processing for H-1B transfers after a layoff.
Focus your job search on employers with a track record of H-1B sponsorship. The USCIS H-1B Employer Data Hub shows which employers have filed H-1B petitions and their approval rates.
If you cannot find a new H-1B sponsor within the grace period, you may be able to change to another nonimmigrant status. Common options include:
B-1/B-2 (visitor): This allows you to remain in the U.S. while you continue your job search or prepare to depart. You cannot work on a B visa. The change of status application (Form I-539) must be filed during the grace period. While the application is pending, you are in a period of authorized stay.
F-1 (student): If you enroll in a qualifying academic program, you can apply to change to F-1 status. This requires acceptance from a SEVP-certified school and filing Form I-539.
O-1 (extraordinary ability): If you have a strong record of achievement in your field, you may qualify for an O-1 visa. This requires a new employer or agent to file on your behalf, but the O-1 has no annual cap and allows immediate work authorization upon approval.
The critical point is that you must file the change-of-status application before the grace period expires. A timely filed, non-frivolous application preserves your authorized stay while USCIS processes it, even if the 60 days pass before a decision is made.
Your H-4 spouse and children derive their status from your H-1B. When your H-1B employment ends, their H-4 status is also affected. During the 60-day grace period, they remain in authorized stay along with you.
If your H-4 spouse holds an Employment Authorization Document (EAD), they can continue working during the grace period. If the grace period expires without a new petition or change of status being filed, the H-4 EAD also becomes invalid.
When you file an H-1B transfer or change of status, include your dependents in the filing so their status is preserved along with yours.
If your employer puts you on garden leave (paid non-working notice), you remain on the company's payroll. As long as you are being paid, the 60-day grace period has not started. This effectively extends your window to find a new sponsor.
Similarly, if your employer provides 60 days of WARN Act pay in lieu of notice, you may still be on payroll during that period. The key question is whether you remain an employee on the company's records. If the WARN pay is structured as continued employment (you are still on payroll, benefits continue), the grace period likely starts when that pay ends. If it is structured as a lump-sum severance after your employment date ends, the grace period starts the day after your last day of employment.
Get clarity from your employer's HR department on your official last day of employment. That date determines when your grace period clock starts.
In 2025, immigration attorneys began reporting cases of H-1B workers receiving Notices to Appear (NTAs) in immigration court during their 60-day grace period. In these cases, the employer had already notified USCIS that the worker's H-1B sponsorship was revoked, and DHS treated the worker as removable even before the 60 days had elapsed.
This is not settled law. The regulation that created the 60-day grace period (8 CFR 214.1(l)(2)) also gives DHS discretion to shorten or eliminate it. As of early 2026, the USCIS guidance page on options for terminated nonimmigrant workers is listed as "out of date," and there is no official policy memo confirming whether the grace period will continue to be honored as it has been in the past.
What this means in practice: the grace period still exists in regulation, and most H-1B workers use it without incident. But the risk environment has shifted. If you are laid off on an H-1B, act as quickly as possible rather than waiting until the end of the 60 days. Filing a new petition or change of status early in the grace period reduces your exposure.
This is a fast-moving area of immigration policy. Consult an immigration attorney for advice specific to your situation.
If a previous or current employer has filed an I-140 (immigrant worker petition) on your behalf and it has been approved, you have additional options:
I-140 portability: Under AC21, if your I-140 has been approved for at least 180 days, you can change employers without losing your place in the green card queue. The new employer does not need to file a new I-140, though they may choose to.
Compelling circumstances EAD: If you are the beneficiary of an approved I-140 but your priority date is not yet current, you may be eligible for an Employment Authorization Document under compelling circumstances (8 CFR 204.5(p)). A layoff can qualify as a compelling circumstance. This EAD is granted in one-year increments and allows you to work for any employer while you wait for your priority date.
Three-year H-1B extensions: With an approved I-140, you may be eligible for H-1B extensions beyond the standard six-year limit. A new employer can file an H-1B petition requesting a three-year extension, which gives you more stability.
If you have just been laid off on an H-1B, here are the steps to take in order of urgency.
This guide provides general information about the H-1B grace period and related immigration options. It is not legal advice. Immigration law is complex and changes frequently. The enforcement environment around the 60-day grace period has shifted in 2025 and 2026, and individual circumstances vary. Consult a qualified immigration attorney for advice specific to your situation.
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