Being laid off is stressful for anyone. For an H-1B worker, however, losing a job can also affect your ability to legally stay and work in the United States.

If you have recently lost your job on H-1B, you may have up to 60 days to take your next immigration step. Depending on your situation, this could mean finding a new H-1B sponsor, changing to another immigration status such as F-1 or H-4, or preparing to leave the United States.

The important thing is to act early.

In this guide, we explain the current state of H1B layoffs in 2026, how layoffs affect H-1B holders, how the H1B 60-day grace period works, what must be done before the 60 days end, and what options H-1B professionals should consider after losing their jobs.

1. Current State of H1B Visa Layoffs

Large-scale layoffs are still affecting the U.S. technology industry in 2026.

By late August 2026, Layoffs.fyi had tracked approximately 125,457 tech employees laid off across 264 companies, with 284 separate layoff events during the year. Major reductions included approximately 21,000 positions at Oracle, 17,267 at Amazon, 11,000 at Dell, 10,400 at Meta, and 4,800 at Microsoft.

For international professionals, these layoffs can carry additional consequences.

Recent reporting has highlighted how workers on employment-based visas are increasingly considering job security when deciding where to work because losing a sponsored position may also start an immigration deadline.

Are all of these laid-off employees H1B workers?

No.

This distinction is important.

There is currently no official real-time database showing exactly how many H-1B visa holders have been affected by U.S. layoffs in 2026.

The 125,000+ figure refers to overall technology-sector layoffs—not H-1B layoffs specifically.

However, technology companies employ many H-1B professionals, particularly in areas such as:

• software engineering,
• data science,
• artificial intelligence,
• information technology,
• engineering,
• business analytics, and
• other specialty occupations.

This means continued tech layoffs can have a particularly serious impact on foreign professionals whose immigration status is connected to their employment.

For an H-1B worker, the first questions after a layoff are usually:

How long can I stay in the U.S.?

Can I find another H-1B sponsor?

When does my 60-day grace period begin?

What happens if I cannot find a new job within 60 days?

Understanding those rules early can give you more time to evaluate your options.

2. Impact of Layoffs on H1B Holders

What is the H1B Visa?

The H-1B visa allows qualifying U.S. employers to temporarily employ foreign professionals in specialty occupations.

A specialty occupation generally requires highly specialized knowledge and at least a bachelor's degree or equivalent in a specific specialty directly related to the position.

Current USCIS rules clarify that there must be a logical connection between the required degree field and the duties of the H-1B position.

H-1B professionals commonly work in fields such as:

• computer science,
• software development,
• engineering,
• finance,
• accounting,
• architecture,
• healthcare,
• data analytics, and
• other specialized professional occupations.

One important feature of H-1B status is that it is employer-specific.

Your permission to work is connected to the employment described in your approved H-1B petition.

Therefore, when that employment ends, your immigration situation can change immediately.

That is where the H1B 60-day grace period after a layoff becomes important.

How is the last day of employment calculated for H1B holders?

One of the first things you should determine after an H-1B layoff is your actual last day of employment.

This is important because the immigration rule is based on the cessation of employment.

Federal regulations do not say that your 60-day period begins when your last paycheck arrives or when your severance payments end. The rule specifically refers to the end, or cessation, of the employment on which your immigration classification was based.

Last working day vs. last paycheck

These dates may be different.

Imagine your company tells you:

• Last active workday: June 1
• Final paycheck: June 15
• Severance continues until: July 1

You should not automatically assume July 1 is your immigration termination date simply because severance continues until then.

Historically, USCIS has distinguished termination of employment from later severance payments.

The exact date can become more complicated if you are:

• still technically employed during a notice period,
• placed on paid garden leave,
• receiving salary instead of severance,
• still receiving employee benefits,
• transferred internally, or
• given conflicting termination dates by HR.

What should you ask your employer?

After a layoff, request written confirmation of:

• your official termination date,
• your final active employment date,
• the date payroll ends,
• the structure of your severance package, and
• when your employee benefits end.

If those dates are different, consider asking your employer's immigration attorney or your own attorney which date should be used for immigration purposes.

Do not wait several weeks simply because severance payments are still arriving.

The H1B 60-Day Unemployment Period

The term “H1B 60-day unemployment period” is commonly used online, but 60-day grace period is more accurate.

Under federal regulations, an eligible H-1B worker will not be considered to have failed to maintain nonimmigrant status solely because employment ended for:

up to 60 consecutive days OR until the end of the worker's authorized validity period, whichever is shorter.

The grace period is generally available once during each authorized validity period, and DHS has discretion to shorten or eliminate it in individual circumstances.

Does every H1B worker get exactly 60 days?

No.

This is one of the biggest H-1B layoff misconceptions.

You should think of the rule as “up to 60 days,” not “a guaranteed 60 days.”

For example:

Suppose your employment ends on June 1.

If your H-1B authorized validity period continues through 2028, your potential 60-day grace period could begin after your employment ends and continue for up to 60 days.

But suppose your authorized H-1B validity period expires on June 20.

You cannot simply add another 60 days after June 20.

The rule ends at the earlier of:

• 60 consecutive days after cessation of employment, or
• the end of your authorized validity period.

Is the 60-day grace period work authorization?

No.

This point is extremely important.

The H-1B grace period allows certain workers time to address their immigration situation. It does not automatically give you permission to work during those 60 days.

Federal regulations specifically state that unless employment is otherwise authorized, the worker may not work during the grace period.

You therefore cannot simply:

• freelance,
• work for a new company without authorization,
• continue working for the previous employer after employment has actually ended, or
• start a side job because you are still inside your 60 days.

There are, however, separate rules that can allow an eligible H-1B professional to begin working for a new H-1B employer after a qualifying petition has been properly filed.

This is known as H-1B portability.

What Needs to Be Completed Within the H1B 60-Day Grace Period?

This is probably the most important question for someone who has just been laid off.

A common misunderstanding is:

“My new H-1B transfer has to be completely approved within 60 days.”

That is generally not the rule.

Depending on which option you choose, what usually matters is taking the appropriate immigration action before your applicable grace period expires.

That could include having a qualifying petition or application properly filed with USCIS, if eligible, or leaving the United States.

Option A: New employer files an H1B petition

If you find another employer willing to sponsor you, the new employer can file a new Form I-129 H-1B petition.

Eligible H-1B workers may qualify for portability, which means they can generally begin employment with the new H-1B employer once the new employer has properly filed the petition with USCIS rather than waiting for final USCIS approval.

The new employer should therefore begin the H-1B filing process as soon as possible.

Option B: File a change of status

If you decide that another immigration status better fits your circumstances, you may be able to file a change-of-status application before your grace period ends.

Depending on your eligibility, examples could include:

• F-1 student status,
• H-4 dependent status,
• another dependent classification, or
• another qualifying nonimmigrant status.

Federal regulations allow people in the H-1B grace period to apply for an extension or change of status if they otherwise qualify.

However, filing a change-of-status application does not automatically give you permission to work.

For example, filing an application to change from H1B to F1 does not automatically give you CPT employment authorization.

Option C: File another qualifying immigration application

Some H-1B professionals may have other immigration options because of their personal circumstances or employment-based green card process.

For example, certain individuals may have options involving adjustment of status or another immigration classification.

These cases can become much more complicated and should generally be reviewed individually with an immigration attorney.

Option D: Leave the United States

If you do not file another qualifying immigration request, you may decide to depart the United States before the applicable grace period or authorized validity period ends.

Leaving the U.S. does not necessarily mean your U.S. career is permanently over.

Depending on your H-1B history and future eligibility, another employer may be able to sponsor you again later.

3. Strategies and Recommendations for H1B Visa Holders Facing Layoffs

If you are facing an H1B layoff in 2026, the biggest mistake is waiting until the final week of your grace period to start planning.

Sixty days can disappear quickly.

A new employer may need time to interview you, approve sponsorship, work with an immigration attorney, obtain a Labor Condition Application, prepare documents, and properly file your H-1B petition.

Instead, consider working on several possible solutions at the same time.

Strategy 1: Start Your H1B Job Search Immediately

If your goal is to continue working in the same field, finding another H1B sponsoring employer may be your first option.

Start applying as soon as you receive notice of your layoff.

When speaking with recruiters, make your immigration situation clear.

If you have already been counted against the H-1B cap and remain eligible for H-1B employment, changing employers generally differs from someone seeking an initial cap-subject H-1B number.

Documents to prepare

Keep digital copies of:

• your passport,
• visa documents,
• most recent I-94,
• Form I-797 H-1B approval notice,
• recent pay stubs,
• previous H-1B petitions if available,
• Labor Condition Applications,
• degree certificates and transcripts,
• employment verification letters, and
• your termination notice.

Strategy 2: Consider Part-Time or Concurrent H1B Employment

H-1B employment does not necessarily have to be full-time.

A qualifying employer may sponsor an individual for a properly structured part-time H-1B position.

An H-1B professional may also potentially work for multiple employers at the same time when each employer properly files the required H-1B petition.

USCIS guidance confirms that H-1B workers can work for more than one employer, provided each employer completes the applicable petition process.

There is no general “10-hour minimum” rule requiring every part-time H-1B employee to work at least 10 hours each week.

The employment arrangement must instead comply with the hours, duties, wages, and other terms in the H-1B filing.

Strategy 3: Explore H1B to F1 Change of Status

If returning to school genuinely fits your academic and career plans, an H1B to F1 change of status may be another option to explore.

This can be especially relevant for professionals who want to:

• earn a graduate degree,
• move into a growing career field,
• develop AI, data, technology, or management skills,
• strengthen their qualifications, or
• combine education with eligible practical training.

However, F-1 is a student immigration status.

Your primary purpose must be education.

Changing from H-1B to F-1 should not be treated simply as a way to continue working after a layoff.

What about Day 1 CPT after an H1B layoff?

Certain graduate programs integrate practical training into their curriculum from the beginning of the program.

This is commonly referred to as Day 1 CPT.

But Day 1 CPT is not a visa or a separate immigration status.

The student is in F-1 status, and CPT is a type of curricular employment authorization.

To work under CPT, the employment must meet the applicable F-1 requirements and be authorized by the school's Designated School Official before employment begins.

Someone considering H1B to F1 after a layoff should therefore carefully compare:

• program relevance,
• tuition,
• accreditation,
• CPT eligibility,
• onsite attendance requirements,
• program start dates,
• change-of-status timing, and
• long-term career goals.

Do not assume that simply applying to an F-1 school automatically allows you to keep working.

Strategy 4: Check Whether You Qualify for Dependent Status

If your spouse maintains qualifying nonimmigrant status, changing to a dependent classification may be an option.

For example, some workers may qualify for:

• H-4,
• L-2, or
• another dependent classification.

Remember that permission to stay in the United States and permission to work are not the same thing.

Employment authorization depends on the specific dependent classification and your eligibility.

Strategy 5: Create a Backup Plan Before Day 60

You do not need to wait for your first strategy to fail before researching a second one.

For example:

Plan A: Find a new H-1B employer.

Plan B: Evaluate H1B to F1 programs that fit your career goals.

Plan C: Determine whether dependent status or another immigration category is available.

Plan D: Prepare for departure if none of the other options can be completed in time.

Having multiple options can prevent you from reaching Day 50 or Day 55 with no realistic plan.

Strategy 6: Know Your Exact Immigration Deadline

Do not automatically count 60 days and assume that is your deadline.

Check:

• your employment termination date,
• your H-1B approval notice,
• your I-94 expiration date, and
• whether you previously used a grace period during the same authorized validity period.

The federal rule provides up to 60 days or until your authorized validity period ends, whichever comes first.

Strategy 7: Do Not Work Without Proper Authorization

Financial pressure after a layoff can make it tempting to accept freelance work or begin working for another employer while waiting for immigration paperwork.

Be careful.

The H-1B 60-day grace period itself does not authorize employment.

Likewise:

• applying to a university does not authorize CPT,
• filing an H1B-to-F1 change of status does not automatically authorize CPT,
• filing a visitor-status application does not authorize employment, and
• receiving severance does not automatically extend H-1B work authorization.

Strategy 8: Speak With an Immigration Professional Early if Your Case Is Complicated

Some cases are relatively straightforward.

Others are not.

Consider obtaining individualized immigration advice especially if:

• your I-94 expires soon,
• your termination date is unclear,
• you are receiving extended severance,
• you already used a grace period,
• you have a pending green card case,
• you are approaching your H-1B six-year limit,
• you are considering H1B to F1,
• you want to use CPT,
• you recently traveled internationally, or
• your employer has already withdrawn your H-1B petition.

The earlier you understand your options, the easier it is to create a realistic timeline.

H1B Layoff 60-Day Grace Period: Quick Checklist

If you have just been laid off on H-1B, start here:

• Confirm your official last day of employment.
• Check your I-94 expiration date.
• Calculate your possible H1B 60-day grace period.
• Start looking for H1B sponsoring employers immediately.
• Collect your immigration and employment documents.
• Explore H1B transfer options.
• Research backup immigration statuses early.
• Consider H1B to F1 only if studying genuinely fits your plans.
• Do not begin unauthorized employment.
• Do not wait until Day 59 to make a decision.

Book a free consultation for transferring your H1B to F1

References

• Tech and outsourcing companies continue to exploit the H-1B visa program at a time of mass layoffs
• 4 in 10 Companies Anticipate Layoffs in 2024
• How to Handle H-1B Layoffs
• H1B Layoff: What Should You Do?