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Immigration Options After a Layoff

Understand your rights, grace periods, and visa options if you lose your job while on a U.S. work visa.

Being laid off is stressful for anyone, but for workers on employer-sponsored visas, a job loss creates an immediate immigration crisis. Your work authorization is tied to your employer, and losing that employment can put your legal status at risk. Understanding your options and acting quickly is essential to protecting your ability to remain in the United States.

The 60-Day Grace Period

Since January 2017, most H-1B, H-1B1, L-1, O-1, and TN visa holders are entitled to a 60-day grace period after employment ends. During this period, you remain in valid status and can take the following actions:

  • Find a new employer sponsor: A new employer can file an H-1B transfer petition on your behalf. You can begin working for the new employer as soon as the petition is filed (for H-1B portability).
  • Change visa status: You can file to change to another visa status (B-1/B-2 tourist, F-1 student, etc.) before the grace period expires.
  • Depart the United States: You can leave voluntarily and preserve your ability to return on a future visa.
  • File for adjustment of status: If you have an approved I-140 with a current priority date, you may be able to file for adjustment of status independently.

H-1B Transfer After Layoff

The most common option for H-1B workers is to find a new employer willing to sponsor an H-1B transfer. Under AC21 portability, you can start working for the new employer as soon as the new H-1B petition is received by USCIS — you do not need to wait for approval. The new petition must be filed before your 60-day grace period expires, and you must have maintained valid status up to that point.

Using Your I-140 Approval

If your former employer filed and USCIS approved an I-140 immigrant petition on your behalf, that approval may survive the layoff depending on how long it has been approved:

  • I-140 approved for 180+ days: The approval is portable under AC21. You can use the priority date with a new employer's green card sponsorship, and the I-140 cannot be revoked by the former employer.
  • I-140 approved for less than 180 days: The former employer can revoke the I-140, losing your priority date and approved petition.

Options Beyond H-1B Transfer

If finding a new H-1B sponsor within 60 days proves difficult, consider these alternatives:

  • O-1A visa: If you have extraordinary ability, a new employer or agent can file an O-1A petition with no cap or lottery restrictions.
  • EB-2 NIW: Self-petition for a green card based on national interest. This does not require an employer sponsor.
  • Change to B-2 status: Provides temporary legal presence (up to 6 months) while you explore options, but you cannot work on B-2.
  • Change to F-1 status: Enroll in a degree program to maintain status. CPT or OPT may provide future work authorization.
  • Start a company: Explore E-2 (if treaty national), O-1A through an agent, or H-1B self-sponsorship through a new startup.

What NOT to Do

Do not continue working for any employer without valid authorization. Do not overstay your grace period — overstaying can trigger 3-year or 10-year bars on reentry. Do not sign severance agreements that waive your immigration benefits without legal review. Do not assume your employer will notify USCIS of the termination — they are required to, but the timeline and impact on your status depend on specific circumstances.

Action Checklist After Layoff

Within the first week: consult an immigration attorney, determine your exact grace period end date, begin job searching with sponsors, and review your I-140 status. Within 30 days: have a new H-1B transfer filed or a change of status application submitted. Maintain documentation of all dates, communications, and filing receipts.

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Frequently Asked Questions

How long can I stay in the U.S. after being laid off on H-1B?

You have a 60-day grace period (or until your I-94 expires, whichever is shorter) to find a new sponsor, change status, or depart the country. During this period you remain in valid status but cannot work without a new petition.

Can I transfer my H-1B to a new employer after a layoff?

Yes. A new employer can file an H-1B transfer petition, and under AC21 portability you can begin working as soon as the petition is received by USCIS. The transfer must be filed before your 60-day grace period expires.

What happens to my green card process if I'm laid off?

If your I-140 was approved for 180 or more days, the approval is portable — your priority date is preserved and a new employer can sponsor you. If approved for less than 180 days, your former employer can revoke it.

Can I start my own company after being laid off from an H-1B?

Potentially. You could pursue H-1B self-sponsorship through a new company, an O-1A visa through an agent, or an E-2 visa if you're from a treaty country. Each option has specific requirements and should be evaluated with an immigration attorney.

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