US Changes Work-Permit Rules Overnight: Major Blow for Indian Students and H-1B Spouses


The US Department of Homeland Security (DHS) has abruptly ended automatic extensions of certain Employment Authorisation Documents (EADs) starting October 30, 2025. This Work-Permit Rule change will impact H-4 visa holders (spouses of H-1B workers), F-1 students on Optional Practical Training (OPT), and asylum seekers. Applicants must now undergo new background checks before their work permits can be renewed.

This move is expected to hit Indian professionals the hardest, as they represent the largest share of H-1B visa holders and international students in the United States. Previously, EAD holders could continue working if their renewal applications were filed on time — but that provision has now been scrapped.


What Work-Permit Rule changes in the EAD Rule?

Work-Permit Rule

The Trump Administration has reversed a Biden-era policy that allowed eligible migrants to keep working while their Employment Authorisation Document (EAD) renewal was under process. Under the new rule, every applicant must undergo renewed vetting and screening before approval.

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This shift could lead to extended waiting periods, job disruptions, and financial strain for tens of thousands of immigrant families. The Department of Homeland Security (DHS) argues that the new measure is intended to strengthen security and prevent fraudulent work authorisations.


Impact on H-1B and H-4 Visa Holders

H-4 visa holders — typically spouses of skilled H-1B workers — are among those most affected by this sudden policy shift. Many depend on EADs to work legally in the US, and the loss of automatic extensions could lead to sudden employment interruptions.

According to official immigration data, Indian nationals account for around 71% of all approved H-1B visas, followed by China at 11.7%. Given this, the new EAD rules will disproportionately impact Indian families in the US.

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Without valid EADs, H-4 spouses risk losing income and work opportunities, especially in tech, finance, and healthcare sectors where many are employed.


F-1 Students and OPT Challenges

F-1 students engaged in Optional Practical Training (OPT) are also directly hit. OPT allows international students to gain real-world work experience related to their field of study for up to 12 months (and up to 36 months for STEM extensions).

Without automatic extensions, delays in EAD renewals may prevent these students from continuing employment while waiting for reapproval. This could mean lost internships, rescinded job offers, and career disruptions.

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Indian students form the largest international student community in the US, comprising nearly 27% of all foreign students as of 2024. The rule change is therefore expected to affect a significant portion of Indian graduates who rely on OPT for professional development.


How Many Indians Are Affected?

Roughly 450,000 people apply for Employment Authorisation Document renewals annually in the US. Immigration experts estimate that at least half of those — including 250,000 Indian nationals — could face delays or temporary job losses as a result of this sudden change.

The lack of prior notice or public consultation has intensified criticism from advocacy groups and the Indian diaspora. Tech companies, universities, and global employers have also expressed concern about the negative implications for skilled talent mobility.

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DHS Justifies the New Vetting Process

According to DHS, the decision aims to improve background screening and prevent identity or documentation fraud Work-Permit Rule. The agency issued a statement explaining that “aliens who file to renew their EAD on or after October 30, 2025, will no longer receive an automatic extension.”

Officials said that reviewing each applicant’s background “will enable USCIS to deter fraud and detect aliens with potentially harmful intent.” They emphasized that working in the US is “a privilege, not a right.”

USCIS recommends all EAD holders file renewal applications at least 180 days before expiration to avoid gaps in employment authorization. However, critics argue that processing delays could still make continuous employment nearly impossible under the new regime.

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Expert Analysis and Policy Outlook

Policy analysts describe the move as a step back for skilled immigration and global competitiveness. The tech industry, in particular, has warned that this could worsen the ongoing talent shortage in sectors like artificial intelligence, software engineering, and research.

Immigration attorneys also fear a surge in backlogs, Work-Permit Rule as each applicant now faces manual verification. Meanwhile, advocacy groups say this decision reflects the administration’s broader tightening of work-based immigration pathways.

For Indian professionals and students, the uncertainty adds another layer of stress — from job insecurity to family financial instability. With over 70% of H-1B visas going to Indian nationals, this change will reverberate across US-India talent networks for years.

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Conclusion

The US Work-Permit Rule change 2025 is expected to create significant uncertainty for thousands of foreign nationals, especially Indians, reliant on EADs for work authorization. While the DHS defends the move as a step toward security and transparency, immigration advocates argue it disrupts livelihoods and undermines America’s image as a hub for global talent.

For more updates on global immigration and visa policy news.

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