Need help with H1B status after termination

[ConfusedImm]

My wife was recently asked to resign from her job by her employer. She has her H1B approved (she is on F1) and its validity starts from October 1st. Her last date at the company is October 13th.
In the separation agreement the company also offered to pay her a reduced salary ( ~60% of her current pay as regular biweekly paychecks) till December 15th but without other benefits. I think this is the severance pay. The company has also told us that they will not revoke the H1B petition till her termination date (Dec 15th).

We are right now confused about a few things. Please help with the following questions:

1. When does the grace period for my wife start before she goes out of status? Is it Oct 13th or Dec 15th? Is the grace period 10 days or 60 days? I am trying to gauge how long she has to find a new job.
2. Is applying for a change of status to H4 the best course of action if she is not able to find a job before she goes out of status? (I have an H1B)
3. If yes to the previous question, when should we apply for the COS - Before Oct 13? Before Dec 15th? or before the grace period of 60 days end?
4. Is it possible for her to apply for jobs while on H4 and switch back to H1B (cap exempted?) if she finds a job?

Thanks in advance for any help/information that you can give.

[pandora-box]

My wife was recently asked to resign from her job by her employer. She has her H1B approved (she is on F1) and its validity starts from October 1st. Her last date at the company is October 13th.
In the separation agreement the company also offered to pay her a reduced salary ( ~60% of her current pay as regular biweekly paychecks) till December 15th but without other benefits. I think this is the severance pay. The company has also told us that they will not revoke the H1B petition till her termination date (Dec 15th).

We are right now confused about a few things. Please help with the following questions:

1. When does the grace period for my wife start before she goes out of status? Is it Oct 13th or Dec 15th? Is the grace period 10 days or 60 days? I am trying to gauge how long she has to find a new job.
2. Is applying for a change of status to H4 the best course of action if she is not able to find a job before she goes out of status? (I have an H1B)
3. If yes to the previous question, when should we apply for the COS - Before Oct 13? Before Dec 15th? or before the grace period of 60 days end?
4. Is it possible for her to apply for jobs while on H4 and switch back to H1B (cap exempted?) if she finds a job?

Thanks in advance for any help/information that you can give.

Hi,

1. When does the grace period for my wife start before she goes out of status? Is it Oct 13th or Dec 15th? Is the grace period 10 days or 60 days? I am trying to gauge how long she has to find a new job.
It start from the last day of employment (Oct 13th), but technically dec 15th as pay check will be coming. This affects only if USCIS questions during reinstatement or transfer.

2. Is applying for a change of status to H4 the best course of action if she is not able to find a job before she goes out of status? (I have an H1B)

YES

3. If yes to the previous question, when should we apply for the COS - Before Oct 13? Before Dec 15th? or before the grace period of 60 days end?

Before grace period of 60 days. The best part is she does not have to leave the country.Also if you find anything in due course or immediately then just put for H1b reinstatement and withdraw your pending h1b application. Do keep in mind h4 conversion from h1b - h4 is faster like 2 months may be so better find something soon.

4. Is it possible for her to apply for jobs while on H4 and switch back to H1B (cap exempted?) if she finds a job?
YES. You can put for H1b reinstatement with new employer as soon she finds a job with offer letter. Best bet is to also consult a lawyer initial review(paid/free) just to take the right path and not hurt her h1b status.

[inadmissible]

If 60% of her current salary is below the prevailing wage, she would be out of status during the period of severance and would enter grace period

[ConfusedImm]

Thank you

That clears up a lot of things. Thank you for the reply..

Hi,

1. When does the grace period for my wife start before she goes out of status? Is it Oct 13th or Dec 15th? Is the grace period 10 days or 60 days? I am trying to gauge how long she has to find a new job.
It start from the last day of employment (Oct 13th), but technically dec 15th as pay check will be coming. This affects only if USCIS questions during reinstatement or transfer.

2. Is applying for a change of status to H4 the best course of action if she is not able to find a job before she goes out of status? (I have an H1B)

YES

3. If yes to the previous question, when should we apply for the COS - Before Oct 13? Before Dec 15th? or before the grace period of 60 days end?

Before grace period of 60 days. The best part is she does not have to leave the country.Also if you find anything in due course or immediately then just put for H1b reinstatement and withdraw your pending h1b application. Do keep in mind h4 conversion from h1b - h4 is faster like 2 months may be so better find something soon.

4. Is it possible for her to apply for jobs while on H4 and switch back to H1B (cap exempted?) if she finds a job?
YES. You can put for H1b reinstatement with new employer as soon she finds a job with offer letter. Best bet is to also consult a lawyer initial review(paid/free) just to take the right path and not hurt her h1b status.

- - - Updated - - -

She checked with the company about the reduced pay and they said it was an oversight and it was not their intention to give reduced pay. (I could see that happening as the wording in the separation document was 'normal bi weekly salary of 'x' $' where x was the reduced amount and we assumed that this was intentional). Anyway they apologized for this and sent a revised document with the regular bi weekly salary.

So this would mean her grace period would start in December right?

If 60% of her current salary is below the prevailing wage, she would be out of status during the period of severance and would enter grace period