US Ends 540-Day Automatic Work Permit Extension: What Indian Workers and OPT Students Need To Know

The Donald Trump administration has ended the general automatic extension of certain US Employment Authorisation Documents (EADs), removing a provision that allowed eligible immigrants to continue working for up to 540 days while their renewal applications were pending.

The US Department of Homeland Security (DHS) finalised the rule, which took effect upon publication in the Federal Register on October 14, 2026. The policy confirms an interim measure introduced in October 2025 and applies to applicants who filed their EAD renewal applications on or after October 30, 2025.

The change could affect eligible immigrants, including certain H-4 dependent spouses, L-2 spouses and applicants seeking permanent residence. However, the rule does not eliminate all automatic extensions, and separate provisions remain in place for eligible STEM OPT students. US Ends Open-Ended Student Visa Stay From September 15: What Indian Students Need To Know As Harvard, Columbia Issue Alerts.

What Has Changed Under the New US Work Permit Rule?

Previously, certain eligible applicants who filed their EAD renewal applications on time could continue working for up to 540 days after their existing work permits expired while the US Citizenship and Immigration Services (USCIS) processed their applications.

Under the new rule, affected applicants will generally no longer receive this automatic extension. If their renewal applications are not approved before their existing EADs expire, they may have to stop working until their employment authorisation is renewed. US Moves to Bar TCS From Green Card Programme; Here’s the Company’s Response.

The change does not cancel automatic extensions granted before October 30, 2025. It also does not override extensions available under separate laws or Federal Register notices, including certain provisions related to Temporary Protected Status.

Does the New US Rule Affect Indian Students on OPT?

The policy change does not alter the existing rules governing F-1 students on standard Optional Practical Training (OPT). Eligible international students can generally work for up to 12 months in a role directly related to their field of study, subject to programme requirements.

Students must receive their Employment Authorisation Document before beginning employment under standard OPT. Filing an initial OPT application does not, by itself, grant an automatic extension of employment authorisation.

The latest DHS rule targets specified EAD renewal categories rather than eliminating employment authorisation provisions for international students.

STEM OPT Students Retain 180-Day Automatic Extension

Eligible F-1 students applying for the 24-month STEM OPT extension can continue to benefit from the existing 180-day automatic extension while USCIS processes their applications.

To qualify, students must file Form I-765 before their initial post-completion OPT employment authorisation expires and meet the other programme requirements. Their Designated School Official (DSO) must recommend the STEM OPT extension and update their Form I-20.

Students can generally submit their STEM OPT extension applications up to 90 days before their initial OPT period expires and within 60 days of the DSO's recommendation.

STEM OPT participants must also work for an employer enrolled in E-Verify and comply with the programme's other conditions. Standard OPT does not impose the same E-Verify requirement.

Why Has the Trump Administration Ended Automatic Work Permit Extensions?

DHS said ending the general automatic extension would allow immigration authorities to complete eligibility assessments, background checks and screening before granting further employment authorisation.

The department argued that the previous provision allowed certain immigrants to continue working while their renewal applications were still being reviewed.

The administration has said the change is intended to strengthen screening procedures and prioritise public safety and national security. However, the policy could create difficulties for workers and employers if USCIS processing delays extend beyond the expiry of existing work permits.

How Could the Rule Affect Indian Workers in the US?

Indian nationals with employment authorisation under affected immigration categories could face employment interruptions if their EAD renewals are not approved before their current permits expire.

Employers may also experience staffing disruptions, additional recruitment costs and productivity losses if workers temporarily lose their authorisation to work.

Applicants should check their EAD category, renewal filing date and eligibility for any separate automatic extension before making employment decisions. Eligible STEM OPT students should continue to follow the existing rules governing their extension applications.

The rule does not mean that every Indian worker or international student in the US will lose automatic work authorisation. Its impact depends on the immigration category and the specific provisions applicable to each applicant.

(The above story first appeared on LatestLY on Oct 16, 2026 04:15 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).