The Compliance Shift in Work Authorization
On October 30, 2025, the Department of Homeland Security (DHS) implemented an Interim Final Rule (IFR) that ended the automatic extension of Employment Authorization Documents (EADs) for individuals filing renewal applications on or after that date.
In practice, this means employees who file renewal applications after October 30 will no longer receive the previously standard up-to-540-day automatic authorization to work while awaiting renewal.
For employers, the implication is clear: work authorization lapses may now occur if renewals aren’t timely, and verifying that only properly authorized employees are on payroll becomes more critical than ever.
Background and Context
For years, many noncitizen workers who timely filed Form I-765 renewal applications benefited from automatic extensions of their EADs (often up to 540 days) under regulations like 8 C.F.R. § 274a.13(d) (Source: USCIS)
DHS says the change is necessary to strengthen the vetting and screening process for work authorization and to ensure security and program integrity.
The new IFR applies to renewal applications filed on or after October 30, 2025—but not to renewals filed before that date nor to certain automatically extended categories, such as some TPS-based EADs, STEM-OPT-based EAD extensions, or other extensions provided by law.
Details of the Change
- The automatic extension benefit ends for most renewal applications filed on or after October 30, 2025.
- Existing automatic extensions granted before that date remain valid.
- Employers must ensure that employees whose EADs expire and whose renewals were filed on or after the effective date do not continue working solely based on a receipt notice.
- Exceptions remain: certain categories, like TPS-based EADs or STEM OPT, may still be eligible for different extension treatments. (Source: USCIS)
- DHS strongly encourages early electronic filing of renewals—as soon as 180 days before expiration—to minimize employment gaps.
Impact on Employers and Workforce
This rule represents a major shift for HR, compliance, and finance teams:
- Employers now face a heightened risk of unauthorized employment if EADs expire and renewals are delayed—raising exposure to enforcement, fines, and audit risks.
- You’ll need to update your verification and re-verification workflows, payroll controls, and HRIS/tracking systems to identify impacted employees and confirm status changes promptly.
- Finance teams must consider the cost implications of employment gaps, the potential costs of termination or redeployment, and the increased administrative burden of more closely monitoring renewals.
- Strategic planning becomes indispensable—mapping renewal timelines, building contingency staffing plans, and coordinating with immigration counsel to mitigate disruption.
Why This Matters for Compliance and Audit Readiness
In the current regulatory environment, where audits and enforcement are accelerating, a lapse in employment authorization can trigger serious consequences. The absence of the “automatic buffer” means your organization must treat EAD renewals with the same urgency as Form I-9 compliance.
Prepare your teams to:
- Track expiring EADs and renewal filings proactively.
- Integrate EAD expiration data into your I-9 and payroll systems.
- Ensure your HR, compliance, and payroll teams have clear visibility into employee work-authorization status.
Ignoring this change could lead to compliance exposure just as critical as Form I-9 violations.
How Clear I-9 by HRlogics Helps You Through This Transition
Clear I-9 by HRlogics is designed to help organizations streamline verification and compliance—from I-9s to EAD tracking and beyond.
Key capabilities include:
- Automated I-9 and EAD status alerts: Receive real-time notifications for missing or expired I-9s and EADs before they impact employment authorization.
- E-Verify and Work-Authorization Integration: Monitor case status and EAD renewals in one platform; identify employees who may be at risk of lapses.
- Audit-Ready Recordkeeping: Every action logged, securely stored, and searchable for audit and inspection readiness.
- Live Video Verification: Complete Section 2 and verify work authorization remotely via certified video agents—ideal in a landscape of remote and hybrid work.
- Centralized Compliance Dashboard: Get full visibility across I-9s, EADs, and compliance workflows; stay aligned with DHS and regulatory changes in real time.
- Comprehensive Document Tracking: Manage and track all expiring documents and required follow-up items—including Social Security number updates, receipt follow-ups, and expiring work authorizations—with automated reminders that ensure nothing falls through the cracks.
This is your opportunity to turn regulatory change into a compliance advantage—automating processes, increasing accuracy, and reducing risk across a single platform.
Don’t Wait for the Next Policy Change
The end of automatic EAD extensions—effective October 30, 2025—is a pivotal moment for employers in the U.S. The “safety net” of a 540-day extension no longer applies to most renewal applicants, shifting greater responsibility to employers and employees alike. In this landscape, compliance isn't just an HR task—it’s a strategic business priority.
With the right processes and technology in place, your organization can stay ahead of the trend, protect your workforce, and maintain operational resilience.
Schedule a demo today to see how your I-9 and EAD compliance can be future-proofed.