Laid Off on H1B? The 60-Day Grace Period Is No Longer Safe in 2026

245,953 Tech Workers Were Laid Off in 2025. If You're on H1B, Your Clock Is Ticking.

The numbers are staggering. In 2025 alone, 245,953 tech workers lost their jobs. In the first two months of 2026, another 52,048 have been cut — that's 839 people per day. For American workers, a layoff means updating LinkedIn and filing for unemployment. For H1B holders, it means something far more terrifying: a 60-day countdown to deportation.

But here's what most people don't know: even the 60-day grace period is no longer guaranteed.

USCIS Is Denying H1B Transfers During the Grace Period

This is the development that has the immigration community in panic. Reports from immigration attorneys across the country confirm a disturbing new pattern: USCIS is issuing denials for H1B transfer petitions filed within the 60-day grace period.

The reasoning? USCIS is claiming that some laid-off workers are "not maintaining valid status" — even when they file within the legally allowed window.

What's Happening

Workers who file H1B transfers on day 30-60 of their grace period are seeing higher denial rates

USCIS is issuing Notices to Appear (NTAs) during the grace period itself — a dramatic escalation

A February 2025 policy memo signaled a stricter enforcement posture that is now playing out in real denials

Immigration attorneys report that filing within 0-10 days of layoff is now considered the only "safe" window

The Numbers Behind the Fear

What the 60-Day Grace Period Actually Means

Let's be crystal clear about what you're entitled to — and what you're not.

What You CAN Do During the Grace Period

Find a new H1B employer who files a transfer petition on your behalf

Change your visa status (to F-1, B-1/B-2, O-1, etc.)

Apply for your own green card if you have an approved I-140

Prepare to depart the United States

What You CANNOT Do

Work for any employer (you have no work authorization during the gap)

Extend the 60 days — there is no extension mechanism

Assume you're safe just because you filed within 60 days — USCIS can and does deny these

The Step-by-Step Survival Guide

If you've been laid off on H1B, here's exactly what to do — in order of priority:

Day 0-3: Immediate Actions

Get your termination letter with the exact last day of employment

Confirm your employer filed the I-129 withdrawal (or hasn't yet — this matters)

Contact an immigration attorney immediately — not next week, TODAY

Gather all immigration documents: I-797 approval notices, I-94, passport, visa stamps

Day 3-10: Critical Window

Secure a new H1B sponsor — reach out to your network, recruiters, and companies actively hiring

Have the new employer file your H1B transfer as soon as possible

If you can't find an H1B sponsor, explore these alternatives:

- O-1 visa (extraordinary ability) — no cap, no lottery - B-1/B-2 tourist visa — buys time but no work authorization - F-1 student visa — if you want to pursue further education - EB-2 NIW (National Interest Waiver) — self-petition for green card

Day 10-60: Backup Plans

If no transfer is filed, seriously evaluate departure and re-entry strategies

Protect your I-140 — if you have an approved I-140, it remains valid even after layoff

Document everything — keep records of all filings, communications, and dates

Companies That Are Still Actively Hiring H1B Workers

Not all companies have stopped sponsoring. Based on our database of 5 million+ H1B filings, these companies are actively sponsoring in 2026:

Pro Tip: Use our company search to find H1B sponsors in your specific field and location.

The Key Question: Does the $100K Fee Apply to Transfers?

Here's the one piece of good news: the $100,000 H1B filing fee does NOT apply to transfers or extensions for workers already in H1B status in the United States.

This means:

If you're already on H1B and get laid off, your new employer does not pay the $100K fee

The fee only applies to new H1B petitions for workers not currently in H1B status

Cap-exempt employers (universities, hospitals, research nonprofits) still need to pay the fee for new hires not already in H1B status

What Immigration Attorneys Are Saying

The consensus from immigration lawyers is clear:

File your transfer as early as possible — day 0-10 is ideal

Don't wait to find the "perfect" job — get any H1B transfer filed first

Premium processing ($2,805) is worth it — you'll get a decision in 15 business days

Keep records of everything — dates, filings, communications with former employer

Do NOT overstay — if no transfer is filed by day 60, departure is the safest option

The Bigger Picture: Why This Matters

The H1B visa program brings over 500,000 skilled workers to the United States. These workers pay taxes, start companies, and contribute to innovation. When the system makes it terrifying to lose a job — a normal event in any economy — it creates a power imbalance that benefits exploitative employers.

Workers who fear deportation are less likely to:

Negotiate fair salaries

Report workplace violations

Leave underpaying employers

Start their own companies

The 60-day grace period was supposed to provide a safety net. In 2026, that net has holes.

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Data sourced from USCIS records, Department of Labor LCA filings, and verified attorney reports. For personalized legal advice, consult an immigration attorney. Use our H1B salary search to research companies before your next interview.