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US Proposal to End 60-Day Grace Period for Job Seekers Could Impact Skilled Immigrants and Tech Industry

Sep 11, Kathmandu - The Donald Trump administration in the United States has proposed to eliminate the existing 60-day grace period granted to some immigrants who lose their jobs, allowing them to stay in the country while seeking new employment or a new employer.

This proposed change would also affect skilled foreign workers currently employed on H-1B visas. According to a government notice published online by the U.S. Department of Homeland Security (DHS) on Thursday, the new rules would require H-1B and certain other temporary visa holders to leave the U.S. immediately upon losing their jobs.

Currently, H-1B visa holders who lose their employment can stay in the country for up to 60 days to find a new employer or adjust their visa status. However, if the proposed regulations are implemented, this grace period will be discontinued.

Industry experts warn that this move could significantly impact American tech companies heavily reliant on skilled foreign workers, especially in Silicon Valley, where foreign talent constitutes a large portion of the workforce.

This step marks another move by the Trump administration, which has been tightening legal immigration policies since taking office for the second time in January 2025. Earlier, the administration proposed increasing visa fees for skilled foreign workers and temporarily halted visa interviews and appointments at U.S. offices worldwide during the implementation of new training programs.

While acknowledging that some companies may be affected by the new rules, DHS claims they can still employ American workers in these positions.