Another blow to H-1B workers in US: Trump admin ends 540-day automatic work permit extension for immigrants

The DHS rule removes a temporary safety net for immigrants whose work authorisation expires while USCIS processes a renewal. Previously, eligible applicants could keep working for up to 540 additional days. The change matters because processing delays could otherwise leave workers unable to work through no fault of their own.

The extension was introduced under Joe Biden’s administration and was temporarily ended last year. The latest rule permanently ends it. Foreign workers may apply to renew only within 180 days of expiry, so timing becomes especially important. DHS said the change would support more frequent background checks.

The final rule takes effect when published in the Federal Register on 14 October. More than 432,000 renewal applications had already been pending for at least six months by 30 June 2026. The policy could therefore affect many people if USCIS decisions do not arrive before existing permits expire.

The policy can affect immigrants who rely on employment authorisation and have filed renewal applications that remain pending. The article specifically identifies asylum seekers and spouses of H-1B workers, including Indians. Their ability to continue working had been protected by the automatic extension when their permits expired during processing.

For example, an H-4 visa holder who is the spouse of an H-1B worker could submit a renewal application but still face a long USCIS wait. Previously, an eligible applicant could continue working under the 540-day extension. Under the new rule, the pending application no longer automatically provides that protection after the existing authorisation expires.

The practical effect will depend on how quickly USCIS processes each renewal. By 30 June 2026, more than 432,000 renewal applications had been pending for at least six months. The article therefore highlights a broad exposure to employment disruption, especially for applicants caught in lengthy backlogs.

The figures show the scale of the problem behind the work-authorisation dispute. By 30 June 2026, USCIS had more than 432,000 renewal applications pending for six months or longer. These were not brief administrative delays; many applicants had been waiting substantially longer.

The article reports that over 91,000 permit renewals had remained pending for more than 18 months. Foreign workers can apply to renew their documents only within 180 days of expiry. That limited window makes long processing times especially significant when the existing permit approaches its end.

Ending the automatic extension could expose applicants in this backlog to employment problems. The article says the previous grace period was designed to protect immigrant workers from being pushed out of work because of processing delays. The figures suggest that many applicants could face that risk if decisions do not arrive before their authorisation expires.

Work authorisation is the permission that allows an immigrant to work legally in the United States. Under the earlier policy, eligible people could keep working for up to 540 days after their permit expired if a renewal application was still pending. Ending that protection means expiry can become a serious employment deadline.

For example, an asylum seeker or H-4 spouse could file a renewal within the permitted 180-day window, but USCIS might not decide the case before the existing document expires. Without the automatic extension, the person may have to stop working until authorisation is renewed. The article describes this as a risk of being pushed out of work.

The broader danger is amplified by the backlog. More than 432,000 renewals had been pending for at least six months by 30 June 2026, including over 91,000 pending for more than 18 months. The article does not specify additional penalties beyond employment consequences.

DHS’s stated reason is more frequent background checks. The department said ending the automatic extension would allow officials to conduct those checks more often on people applying to renew work authorisation. The explanation frames the rule as a screening and oversight measure, rather than only an employment rule.

The article does not describe the exact checking schedule or explain precisely how the previous extension prevented more frequent checks. It does establish that the former 540-day policy allowed eligible immigrants to keep working while USCIS applications remained pending. The new policy removes that automatic protection after the existing authorisation expires.

That justification comes as USCIS faces a large backlog. By 30 June 2026, over 432,000 renewal applications had been pending for at least six months. The department’s stated approach prioritises repeated background checks, while applicants and advocates face the practical uncertainty of possible work interruptions during long processing periods.

H-4 visa holders challenged the policy because they argued that ending the automatic work-authorisation extension violated the Administrative Procedure Act. The lawsuit was filed in January against the federal agency. The dispute focused not only on the policy’s effect, but also on how the government changed it.

The Administrative Procedure Act provides procedural requirements for federal agency action. In September, a California judge blocked the interim final rule from applying to the plaintiffs. The judge found that the agency had failed to meet those requirements and had not properly accounted for people’s reliance on the previous policy.

That court decision did not end the broader policy change described in the article. DHS later issued a final rule, which takes effect upon publication in the Federal Register on 14 October. The legal challenge shows that agencies must address required procedures and the consequences for people who organised their work around an earlier rule.

Work authorisation is permission to perform employment in the United States. A visa is generally permission to seek entry for a particular purpose and period; it does not by itself always grant permission to work. Immigration status is the legal category under which a person is present, such as asylum seeker, H-1B worker, or H-4 dependent. These concepts overlap but serve different purposes.

The article illustrates the distinction through spouses of H-1B workers. An H-4 visa holder may have a lawful immigration category, yet separately need work authorisation. The dispute concerns whether that employment permission continues after its document expires while a renewal remains pending. The prior rule supplied an automatic extension for eligible applicants.

The article’s figures show why the distinction matters. More than 432,000 renewals had been pending at least six months by 30 June 2026. A person’s immigration status may continue while work authorisation expires, creating a possible employment problem even without an immediate change in status.