YES, you'll be out of status. One of my friend had similar problem. He got laid off. Fortunately he found another sponser within 10 days. But that still counts as being out of status as USCIS doesn't recognize grace period for H1B. It depends on whether your employer notified USCIS and revoked your H1B. Just getting laid off doesn't mean USCIS knows that right that moment. from http://www.allaboutvisas.com/faq_h1blotw.htm#1 That 10 days grace period is for: The H-1B worker can be admitted to the U.S. up to 10 days prior to the validity of his/her visa petition The H-1B worker has a 10 day grace period following the expiration of the period of admission In the case of denials of extension, the H-1B worker is given up to 10 days to depart the United States As far as I know and understand, you can not stay here more than 10 days after H1B is gone without being out of status. Q: I was employed in H-1B status until last week when I was laid-off. Am I considered to be out of status now? Yes, the USCIS has not changed its view that a person in H-1B status who is laid-off is considered to be in violation of his/her status. Many who find themselves in this situation have a new employer file an H-1B petition as soon as possible after the lay-off has taken place. If the individual is no longer working at the time the H-1B petition is filed, the H-1B petition can still be approved. However, the USCIS, while approving the petition, may require the individual to travel outside of the U.S. and obtain a new H-1B visa. After I've been laid-off, what happens if my employer notifies the USCIS and revokes my H-1B petition There is no requirement that an employer notify the USCIS that it has terminated or laid-off an H-1B worker. The good news is that the USCIS is slow at this point in terms of processing H-1B revocation notices. Generally speaking, it can take several months for the USCIS to actually process the revocation notice. However, if an individual is attempting to find another job, it should be done as soon as possible after the lay-off or termination takes place. The new employer should not delay in filing the new H-1B petition. If you have been out of work for some period of time, you may not be able to present the current pay stubs as proof of your continuing H-1B employment. As such, as referenced above, it may be necessary to travel abroad to obtain a new H-1B visa, if the H-1B extension is not granted. I was laid-off last week. What are the options available to me? An H-1B employee who has been laid-off has several options depending on the person’s individual circumstances. It may be possible for the individual to change their status to one of the following categories: F-1 (Student status) H-4 or F-2 (Dependant of an H-1B or F-1 spouse, respectively) B-1 (Business status) B-2 (Tourist) The good news is that the USCIS has made it clear that a laid-off H-1B worker may apply for a visitor’s visa in order to secure employment. Unfortunately, if the individual changes their H-1B status, they may be subject to the yearly H-1B cap. Once terminated, the USCIS would prefer to see each individual leave the United States since they are no longer working in H-1B status. However, given the difficulty in securing employment from abroad, many laid-off H-1B workers attempt to secure new employment while remaining in the United States. Some choose to seek new employment without changing status while others may feel more comfortable filing a Change of Status application while continuing to seek new employment. This area is certainly a complex area and no general answer can be given. If you find yourself in this situation, you should quickly seek competent immigration counsel to assist you in the process. What are the consequences of falling out of status? As most of you know, the consequences for not maintaining H-1B status can be quite severe. If a permanent resident case is pending the out of status individual may not be able to apply for Permanent Residence in the United States and will have to have an interview in his/her country of origin. Moreover, if an individual remains beyond their authorized stay for more than 180 days, they quite possibly could be subject to a three year bar before they can return to the United States. An individual who remains in the United States for more than one year beyond his authorized stay and departs the United States, will not be able to return for 10 years. It is important to note that there is a distinction between an individual who remains in the United States “beyond their authorized stay” as opposed to an individual who is “out of status”. Again, this is a complex area and competent immigration counsel should be consulted to develop the best strategy if maintaining status becomes an issue. For more info, follow the link: http://www.allaboutvisas.com/faq_h1blotw.htm#1