RAICES Bulletin: DHS Proposes Rule to Restrict Work Permits

By RAICES Public Affairs Director Javier Hidalgo, Esq.

TL;DR The Department of Homeland Security (DHS) has proposed a rule to restrict work permits by requiring independent proof of economic necessity, tying renewals to E-Verify employers, and capping validity at a single year. This policy threatens to cause widespread financial instability for immigrants and heavily disrupt legal application workflows, but the public has until August 4, 2026, to submit written comments opposing the changes.

WHAT TO KNOW

  • Issue: DHS has proposed a rule to restrict Employment Authorization Documents (EADs) for certain applicants. Changes require applicants to prove "economic necessity," tie all renewals to E-Verify employers, and establish strict discretionary bars for individuals with arrests or alleged gang/terrorist ties. Additionally, the rule limits EAD validity to a single year, mandates biometrics and FBI checks, and nearly eliminates eligibility for those under an Order of Supervision (OSUP). 

  • Rationale: Designed to comply with Executive Orders 14159 and 14161, the administration contends that broad work authorizations undermine the deportation system and discourage individuals with final orders from leaving the country. DHS claims these restrictions protect American workers from labor-market displacement, while heightened vetting, shorter validity caps, and arrest-based bars are necessary to enhance national security and public safety.   

  • RAICES Impact: This rule heavily impacts RAICES' EAD application workflows, requiring legal teams to proactively adjust strategies for clients under OSUP or Convention Against Torture (CAT) deferrals and prepare to meet the strict "economic necessity" standard. Because unadjudicated arrests and expunged records will serve as negative factors, early criminal history assessments are crucial for properly advising clients. Furthermore, capping EAD validity at one year will cause renewal volumes to spike, requiring strategic staff capacity planning.   

  • Community Impact: By stripping away vital legal options, this rule fuels widespread financial instability and uncertainty for immigrants. Declining EAD approvals will trigger severe economic consequences from lost earnings and labor disruptions, which will worsen if employers refuse to enroll in E-Verify. Additionally, denying work permits based on arrests without convictions will create a chilling effect across the community.    

  • Related Legal Battles: No direct lawsuits challenge this rule during its public comment phase. The administration's broader efforts to restrict legal immigration continue to draw legal opposition. For example, ongoing litigation over terminating categorical parole processes (such as the CHNV programs) recently resulted in a Supreme Court stay that halted new processing pending appeal.   

  • Broader Immigration Strategy: The public has until August 4, 2026, to submit written comments. Advocates should leverage the notice and comment period to expose how this rule fits into the administration's pattern of restricting legal immigration and sowing community fear and confusion. Beyond the immediate humanitarian toll, this rule offers a critical opportunity to highlight the broader economic damage caused by anti-immigrant agendas. 

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