On July 5, 2025, the Department of Homeland Security (DHS) officially announced the termination of Temporary Protected Status (TPS) for citizens of Honduras and Nicaragua. This decision affects thousands of individuals who have been living and working in the U.S. under TPS protections. The change could have significant implications for employers who currently rely on TPS-authorized workers from these countries.
Impact on Work Authorization
TPS grants eligible foreign nationals temporary protection from removal and provides them with work authorization through Employment Authorization Documents (EADs). With the termination of TPS for Nicaraguan and Honduran nationals, these individuals will soon lose their legal right to work in the United States unless they are able to change to a different status that allows for work authorization.
Unless new legal action blocks the move or DHS issues additional guidance, many TPS holders from Honduras and Nicaragua will face the expiration of their EADs in the coming months. An automatic 60-day grace period has been implemented to help these individuals and the companies that employ them figure out what to do next.
1. Identify Impacted Employees
Employers should immediately review their workforce to determine whether any current employees are working under TPS-based EADs for Honduras or Nicaragua. Employers can do this by either reviewing country of origin in their HRIS system, or auditing Form I-9 documentation.
2. Track EAD Expiration Dates
Once affected employees are identified, employers should verify their EAD expiration dates and what affect the 60-day grace period may have. Employment will either need to be effectively terminated prior the end of the the employee’s EAD time, unless the employee is able to secure another status that allows for work authorization.
3. Communicate with Affected Employees
It is essential to communicate with affected workers. Employers should notify employees of the situation and encourage them to seek legal counsel to determine their options. These may include transitioning to a different immigration status, if eligible.
4. Ensure I-9 Compliance
Employers must be prepared to complete reverification of I-9s for TPS holders once their current EADs expire. Companies must comply with all USCIS guidelines while avoiding discrimination. Human Resources and Legal teams should coordinate to ensure compliance while maintaining respect and support for affected individuals.
5. Plan for Workforce Transitions
People affected by the ending of TPS are being offered a plane ticket home and $1000 to help with the transition back to their country of origin. Employers should also prepare any other documentation normally provided in the event of termination. Please also contact your Graham Adair attorney to ensure compliance with all immigration requirements.
Employers that fail to take action risk violating immigration laws, which can result in fines and audits. The termination of TPS for these populations may also disrupt workplace operations, particularly for companies that employ TPS holders in critical or hard-to-fill roles.
This development marks a significant shift in U.S. immigration policy with real consequences for businesses. While legal challenges to the TPS termination may still unfold, employers cannot afford to wait. Taking proactive steps now to identify and support affected employees is the best way to minimize risk and maintain business continuity.
If you have questions about how this development may affect your organization, or if you would like assistance conducting a TPS compliance audit, please contact your attorney or reach out to us at info@grahamadair.com.