US government proposes removal of 60-day grace period for H-1B visa: The wider industry impact

US government proposes removal of 60-day grace period for H-1B visa: The wider industry impact

US government proposes removal of 60-day grace period for H-1B visa holders

US Department of Homeland Security (DHS) has proposed eliminating a 60-day grace period that allows certain immigrants, including skilled workers on H-1B visas, to ‌stay in the United States after losing their job. It ​will also affect H-1B1 skilled worker visa holders from Singapore and Chile and E-3 specialty worker visa holders from Australia. If implemented, the change will mean that immigrants on H-1B visa, E-1, E-2 and others may have to leave US in case they lose jobs in the country. H-1B visa was created by Congress in 1990.

“DHS has determined that removal of the up to 60-day discretionary grace period best aligns the regulatory provisions with the statute and restores the expectation that aliens depart the United States upon cessation of the employment or activity on which the visa classification was based,” the notice reads. “DHS repeatedly made it clear that the purpose of the up to 60-day discretionary grace period was to increase mobility for certain high-skilled aliens and to improve the ability of US employers to more easily facilitate changes in employment for existing and newly recruited nonimmigrant workers,” it states adding “DHS now believes that the justification did not sufficiently consider the fact that the introduction of the up to 60-day discretionary grace period created a misalignment with statutory provisions governing the impacted classifications”. The change will also apply to E-1 international trader visa holders; E-2 commercial vehicle operator visa holders; L-1 short-term work for executives or managers with international companies; O-1 ⁠visas for ​people “with an extraordinary ability” in science, sports or the arts; and TN professional workers. A Reuters report quoted lawyers for Berardi Immigration Law, which specializes in business-related immigration issues, said the move would “sharply compress the timeline HR teams have to manage layoffs and offboarding for foreign national ​employees. “It seems like every week this administration announces a new step to make life more difficult ​for immigrants in the ⁠U.S. and the companies and communities that rely on them,” said Todd Schulte, president of FWD.us, an immigration advocacy group.

The department has published a government notice in the Federal Register. As per the notice, those with H-1B and certain other temporary work visas may have to leave the country as ​soon as their employment ends. DHS has proposed a two-month public comment period ​before finalizing the rule. The visa is particularly important for tech companies seeking skilled workers from countries such as India and China. The visa allows employers to fill positions where they may face a shortage of qualified US workers. Consulting firms such as Deloitte, PwC and Ernst & Young, along with outsourcing companies including Tata Consultancy Services (TCS), Infosys, HCLTech and LTIMindtree, are among the top H-1B sponsors. Get the latest technology news and updates. Download the TOI App.

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