DHS Ends Automatic EAD Extensions: What Employers Need To Know Now

In a significant policy shift, the Department of Homeland Security (DHS) published an Interim Final Rule (IFR) in the Federal Register on October 30, 2025, ending the automatic extension of Employment Authorization Documents (EADs) for certain renewal applicants. This change has immediate implications for employers managing work authorization compliance and workforce planning. Notably, the rule was announced with little advance notice, leaving employers with limited time to prepare for the potential disruptions this policy may cause in maintaining employment authorized workforces.

Quick Background

Under current policy, U.S. Citizenship and Immigration Services (USCIS) automatically extends certain EADs based on a timely renewal filing. Originally conceived during the Obama Administration, the Retention of EB-1, EB-2, and EB-3 Immigrant Workers and Program Improvements Affecting High-Skilled Nonimmigrant Workers went into effect on January 17, 2017, allowing USCIS to provide certain EAD renewal applicants automatic extensions of the expiration dates on their expiring EADs, subject to certain criteria.

These extensions, originally capped at 180 days, were lengthened to 540 days under the Biden administration in May of 2022 with the Temporary Increase of the Automatic Extension Period of Employment Authorization and Documentation for Certain Renewal Applicants to accommodate longer processing times. The subsequent final rule, issued in December 2024, codified the automatic extension period to up to 540 days for eligible applications filed on or after May 4, 2022, or pending as of that date.

This change will affect a wide range of EAD holders, including but not limited to those with a pending adjustment of status to lawful permanent residence, and asylum seekers.

The new IFR ends all flexibility. Starting today, October 30, 2025, foreign nationals who file EAD renewal applications on or after this date will no longer receive automatic extensions.

What's Not Changing

The rule does not affect:

• Automatic extensions already granted by the timely filing of an EAD renewal application prior to the publication date of October 30, 2025; or
• Automatic extensions provided by a specific law¹ or Federal Register notice:
  • Temporary Protected Status (TPS) beneficiaries, where extensions may still be granted via Federal Register notices.
  • STEM OPT Extensions, which were never eligible for the 540 automatic extension period under 8 CFR 274a.13(d). Instead, timely filed STEM OPT extension applications will automatically extend employment authorization documents for 180 days.

The IFR also does not impact the validity of EADs that were automatically extended before October 30, 2025. This means that foreign nationals can continue to present evidence of a timely-filed renewal application with a "Received Date" prior to October 30, 2025, along with their expired EAD for Form I-9 purposes to receive a 540-day automatic extension.

What Employers Need To Do Now.

• Assess The Scope of Impact. Employers should immediately assess which employees may be affected by the new rule.
• Monitor Processing Times and USCIS Processing Priorities. Employers should closely monitor EAD processing times and prepare for potential gaps in work authorization that could affect their operations.
• File Early. USCIS recommends filing EAD renewals up to 180 days before the expiration date of their current EAD. Employers should reinforce this timeline with impacted employees to avoid work authorization gaps and minimize the risk of I-9 noncompliance.
• Update I-9 Protocols. HR teams must revise I-9 procedures to reflect the end of automatic extensions for most categories. This includes evaluating current suspension and termination policies, which may require amendments, and updating compliance documentation. Companies will need to decide if they will allow for suspensions instead of terminations, and others may want to consider longer or shorter suspension timelines. Operational realities will drive these discussions.
• Prepare for Disruption. Without automatic extensions, delays in EAD processing could lead to employees abruptly losing work authorization. Employers should develop contingency plans for any critical roles since the stop gap that ensured work authorization would not be jeopardized will no longer be available.
• Explore Solutions. It is expected that the rule will be challenged. Regardless of litigation outcomes, employers must adapt workforce planning strategies to minimize risk. Look out for benchmarking data, focus groups, and expert insights to guide policy updates.
• Consider Submitting a Comment: Comments should be submitted by December 1, 2025 here. Individual employers may choose to share their own concerns or support, or they may wish to coordinate with umbrella organizations or associations to submit comments as part of a larger group.

The Government's Reasoning Behind the Change

USCIS Director Joseph Edlow stated the agency is placing a renewed emphasis on "robust alien screening and vetting," signaling a shift from convenience to security. While the policy aims to deter fraud and enhance national safety, it also places new burdens on employers.

The IFR outlines serious concerns about the automatic extension of EADs, arguing that the policy allows individuals to maintain work authorization without sufficient vetting or review. According to DHS, this process grants employment extensions "without concurrently completing vetting and screening checks; without resolving potential hits of derogatory information in connection with the alien; and without a determination that the employment authorization should be renewed in the exercise of discretion." As a result, the agency warns that the automatic extension "poses a security vulnerability that could allow bad actors to continue to work and generate income to potentially finance nefarious activities that pose an imminent threat to the American public." In short, DHS contends that such extensions may inadvertently enable individuals who have not been fully screened to remain employed, undermining the administration's security priorities.

While DHS cites national security concerns as the reason for ending automatic EAD extensions, it is important to remember that the original purpose of these extensions was to prevent disruption for employers when USCIS could not process renewal applications quickly enough. Over the years processing times have varied based on the underlying application, creating significant uncertainty for businesses that rely on these workers. When the automatic extension period was lengthened, the primary goal was to protect the U.S. economy by avoiding widespread lapses in employment authorization. Despite assurances in the rule about maintaining timely adjudications, the agency's suspension of streamlined, rules-based processing will likely make renewals even more labor-intensive and slow.

For more information, contact Dawn Lurie. The Seyfarth Immigration Compliance & Investigations specialty group –recognized as national leaders in the field – is trusted by top Fortune 100 companies as well as small businesses across the country for strategic, practical advice. The group offers comprehensive guidance on Form I-9 and E-Verify compliance, ICE inspections, and worksite enforcement actions, internal immigration assessments, I-9 audits, DOL immigration-related wage and hour investigations, general H-1B compliance, and DOJ-IER anti-discrimination matters, including foreign sponsorship and export control/ITAR issues.

Footnote

1 E-1, E-2, E-3, and L-2 nonimmigrant dependent spouses are considered employment authorized incident to status. USCIS generally provides notices to E and L spouses with a Form I-94 issued by USCIS before January 30, 2022 that was notated with E-1, E-2, E-3, E-3D, E-3R, or L-2 nonimmigrant status that state they were identified as an employment authorized spouse and may use the notice, in combination with their Form I-94 issued by USCIS, as evidence of employment authorization.

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