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H-1B Layoff: The 60-Day Grace Period Explained

After H-1B employment ends, USCIS may grant up to 60 consecutive calendar days to take action. The available time may be shorter, so immediate planning matters. How the H-1B Grace

Written by: Wagner Pontes

After H-1B employment ends, USCIS may grant up to 60 consecutive calendar days to take action. The available time may be shorter, so immediate planning matters.

How the H-1B Grace Period Works

An H-1B layoff does not always require immediate departure from the United States. Regulations allow USCIS to grant a discretionary grace period of up to 60 consecutive calendar days after the qualifying employment ends, or until the end of the worker’s authorized validity period, whichever comes first.

The phrase “up to” is essential. The H-1B 60-day grace period is not a guaranteed additional 60 days in every case, and USCIS may consider the circumstances when adjudicating a later filing.

If the worker’s I-94 expires 25 days after employment ends, the available period cannot extend beyond that expiration date. The grace period is generally available once during each authorized validity period.

Because losing H-1B employment can also affect H-4 family members, every decision should account for the entire household.

When Does the Grace Period Begin?

The calculation generally starts after the employment relationship ends, but the factual date can depend on the employer’s records, payroll, termination documents and actual cessation of work.

A layoff announcement is not necessarily the last day of employment. Similarly, receiving severance payments does not automatically extend the employment relationship.

The worker should request written confirmation of:

  • the final active employment date;
  • the final payroll date;
  • the structure of severance payments;
  • the date employment benefits end;
  • whether the employer will withdraw the H-1B petition;
  • whether any period of paid garden leave remains part of employment.

These documents can become important when demonstrating that a later H-1B transfer or change-of-status request was timely filed.

What You Can Do During the Grace Period

The grace period does not independently authorize employment. During this time, the worker may pursue several possible strategies.

Find a new H-1B sponsor

A new employer may file Form I-129 requesting H-1B classification. An eligible H-1B worker may generally begin working for the new employer once USCIS receives a properly filed, nonfrivolous H-1B portability petition—not only after the paper receipt notice arrives.

Portability requirements must still be satisfied. Prior H-1B approval does not excuse an incomplete or untimely petition.

Request a change of status

The worker may file Form I-539 to request another status, such as B-2 or a qualifying dependent classification. The appropriate category depends on the applicant’s purpose, family circumstances and eligibility.

B-2 visitors may search for employment and attend interviews, but they cannot work. A timely, nonfrivolous change-of-status filing may permit the applicant to remain in an authorized period of stay while USCIS considers the request, but it does not provide employment authorization.

Rely on a pending adjustment application

A worker with a pending Form I-485 may have an adjustment-based EAD or qualify to apply for one. However, an approved or pending Form I-140 alone does not provide work authorization and does not automatically permit Form I-485 filing.

Visa availability, eligibility and the procedural stage of the case still matter. Professionals can compare long-term options through D4U’s guide to U.S. visas and immigration pathways.

Depart the United States

If no viable filing is available, timely departure may help avoid future status and unlawful-presence complications. Travel and future visa consequences should be reviewed before making the decision.

H-1B Portability vs. Change to B-2

CriterionNew H-1B PetitionChange of Status to B-2
Primary purposeContinue professional employmentRemain temporarily for a legitimate visitor purpose
Who filesNew employer files Form I-129Individual files Form I-539
EmploymentEligible portability employment may begin after proper USCIS receiptEmployment is prohibited
H-1B lotteryUsually not required if the worker remains eligible based on a prior cap countNot applicable
Job searchMay continue while the petition is preparedJob searching and interviewing may be permitted, but working is not
Family planningH-4 filings may need coordinationDependents may require coordinated status requests
Main riskEmployer filing delays or portability ineligibilityNo employment authorization and no guaranteed approval

Changing to B-2 should not be treated as automatic H-1B protection. If a new employer later files an H-1B petition, the sequence and requested action must be planned carefully.

Premium Processing

Premium processing is available for many Form I-129 H-1B petitions. Under the current fee schedule, the premium processing fee is $2,805, and USCIS generally commits to take adjudicative action within 15 business days.

That action may be an approval, denial, request for evidence or notice of intent to deny. Premium processing does not guarantee approval.

It also does not create portability eligibility. The worker may not need to wait for final approval before beginning eligible portability employment, but the petition must first be properly filed and received by USCIS.

Common Mistakes and How to Avoid Them

Treating 60 days as guaranteed

USCIS may grant up to 60 days. Plan conservatively and avoid waiting until the final days to file.

Counting from the I-94 expiration date

The grace period is connected to the cessation of employment and cannot extend beyond the authorized validity period.

Waiting for the paper receipt notice to start eligible portability employment

The relevant event is proper USCIS receipt of the petition, not necessarily physical delivery of the receipt notice. Employers commonly wait for filing confirmation to reduce compliance risk.

Working while a B-2 request is pending

A pending B-2 change-of-status application does not authorize employment. This includes unauthorized freelance, contract or remote work performed from within the United States.

Forgetting H-4 family members

Dependents’ status is connected to the principal worker. Their filings, I-94 dates and employment authorization must be reviewed as part of the same plan.

Assuming severance extends H-1B employment

Severance payments may continue after the employment relationship ends. The actual employment termination date is more important than the last payment date.

Believing unlawful presence rules are automatic on day 61

Status violations, authorized stays and unlawful presence are related but distinct legal concepts. The three- and ten-year bars generally concern unlawful presence followed by departure, and the calculation can be fact-specific.

Timelines and Estimated Costs

H-1B filing fees vary according to the employer’s size, type, workforce and use of premium processing. There is no single filing total applicable to every employer.

Potential charges can include:

  • the Form I-129 filing fee;
  • the Asylum Program Fee;
  • the ACWIA training fee;
  • the fraud prevention and detection fee;
  • Public Law 114-113 fees for certain employers;
  • the optional premium processing fee;
  • dependent change-of-status or extension fees.

Certain H-1B fees must be paid by the employer and cannot lawfully be shifted to the worker when doing so would violate wage requirements.

Form I-539 fees and processing times should be confirmed through USCIS at the time of filing. All estimates are subject to change.

Immediate Action Plan

  1. Obtain written confirmation of your final employment date.
  2. Download your most recent I-94.
  3. Gather Forms I-797, prior H-1B petitions, pay records and immigration documents.
  4. Calculate 60 calendar days while also checking the I-94 expiration date.
  5. Notify active recruiters that H-1B sponsorship timing is critical.
  6. Ask prospective employers whether they can prepare a portability petition promptly.
  7. Review any approved I-140, pending I-485 or employment authorization document.
  8. Check the status and expiration dates of every H-4 family member.
  9. Evaluate a timely change-of-status filing or departure if no sponsor is available.
  10. Complete D4U’s immigration qualification form to begin organizing your transition.

How D4U Supports Your Planning

D4U provides international planning and administrative support for professionals managing transitions in the United States. It is not a law firm and does not provide legal representation.

The team can help organize employment records, immigration notices, family documents, deadlines and the practical sequence of an H-1B transition. When legal interpretation or representation is required, the applicant should consult a licensed immigration attorney.

Applicants evaluating a longer-term professional strategy can also explore D4U’s Professional Plan for U.S. immigration.

D4U reports a success rate of over 91% among our clients. Its service commitment is your journey completed, or your money back, subject to the applicable contractual conditions.

Frequently Asked Questions

Is the 60-day grace period automatic?

No. USCIS may grant a discretionary period of up to 60 consecutive calendar days, limited by the expiration of the authorized validity period.

Can I work during the grace period?

Not solely because the grace period exists. Employment requires another valid basis, such as eligible H-1B portability after USCIS receives the new employer’s properly filed petition.

Do I need to enter the H-1B lottery again?

A worker previously counted against the H-1B cap may generally be eligible for a new cap-exempt petition, subject to the applicable rules and remaining eligibility.

Can I look for work while requesting B-2 status?

Job searching and interviewing may be permitted, but B-2 status does not authorize employment. A new employer must complete the appropriate H-1B process before work begins.

Does an approved I-140 protect my H-1B status?

No. An approved I-140 may support certain future immigration benefits or H-1B extensions, but it does not independently provide lawful status or work authorization.

What happens to my H-4 spouse and children?

Their derivative status is connected to the principal H-1B worker. Any new petition, change of status or departure plan should account for their filings and I-94 dates.

Does severance extend the grace-period start date?

Not necessarily. Continuing severance payments do not automatically mean that qualifying employment continues.

What happens after the available grace period ends?

The consequences depend on the I-94, filings made, status history and other facts. Applicants should not assume either that they are automatically protected or that every immigration consequence begins identically on the next day.

Talk to the D4U team and start your international journey.

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Wagner Pontes

An entrepreneur with over 20 years of experience, Wagner Pontes has lived in the United States for nearly a decade. He is the founder and CEO of D4U Immigration, Piquet Race Park, and Okkla Realty. Between 2020 and 2021, he was an advisory member of the International Law Committee at the Brazilian Bar Association (OAB), the only non-lawyer to hold this position. Throughout his career, he has been recognized with awards such as Best CEO in the global mobility segment by the British magazine CEO Monthly (2020) and Young Entrepreneur of the Year by Jovem Empreendedor magazine (2008). His journey as an immigrant has taught him lessons and strengthened his ability to face the challenges and opportunities that international journeys entail.

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