Ending Work Authorization for Asylum Seekers
Will Cost Billions

The proposed asylum work permit rule would drive up inflation, sacrifice billions in lost tax revenue, and create chaos in major industries. The business community must speak up.

What is Happening?

  • On February 23, 2026, the Department of Homeland Security (DHS) published a Notice of Proposed Rulemaking (NPRM) titled “Employment Authorization Reform for Asylum Applicants.” The proposed rule would indefinitely bar people who seek asylum after the rule goes into effect from applying for authorization to work legally during their years-long legal process.
  • If implemented, the asylum work permit rule would halt the processing of initial applications for work permits until USCIS can process all affirmative asylum applications within an average of 6 months. As noted in the NPRM, processing times in recent years have averaged between 22-35 months. DHS estimates that the pause on initial applications could last from 14 to 173 years or longer.
  • Additionally, this proposed asylum work permit rule would create new, onerous requirements to renew work authorization for those who already have it, and expand U.S. Citizenship and Immigration Services’ (USCIS) authority to deny applications for work permits based solely on agents’ discretion.
  • This new regulation would also increase the time those seeking asylum must wait before they are eligible to apply for work authorization from 5 months to 1 year.
  • There is a 60-day public comment period on the asylum work permit rule that ends at midnight eastern time on April 24, 2026. See more information below on how you can push back on this misguided proposal.

Why This Matters:

  • Major labor-market disruptions.
    Roughly 2.3 million adults are already legally working while completing the asylum process, helping to fill essential roles in industries facing widespread labor shortages, including in food, construction, and transportation. Preventing large numbers of these individuals from renewing their work permits and barring new workers from joining them will worsen labor shortages and disrupt production and services for everyday Americans.
  • Rising inflation.
    Labor and operating costs for businesses of all sizes will increase as employers lose experienced workers and struggle to fill vacancies. Costs will be passed on to everyday Americans who will have to pay even more for housing, healthcare, and basic goods and services, while some businesses will have to slow or stop production and expansion. Growth will come to a halt, and inflation will drive prices higher.
  • Significant economic loss.
    People with temporary status, including those with an active asylum claim, pay an estimated $25.7 billion each year in federal, state, and local taxes. These tax dollars pay our teachers and first responders, infrastructure like roads and bridges, and key programs like Medicare and Social Security. Cutting off this revenue stream would undermine economic stability and weaken the government’s capacity to sustain essential public services and programs.

How Should Businesses Respond?

  • Public comment through Regulations.gov.
    Employers should submit a comment for the public record about the negative impact that ending work authorization for people seeking asylum will have on their business. The government needs to hear directly from employers about the harm the asylum work permit rule will cause. The government is required by law to read and review the comments. These comments can influence DHS to make changes to the proposed rule and can also be cited in future efforts to challenge this policy, including litigation. Public comments must include the code DHS Docket No. 2025-0370 in the text of the comment.
  • Sign-on comment.
    Join a coordinated sign-on comment to send a strong message that this rule is harming the economy and many businesses.
  • Contact your members of Congress.
    Share your concern about this rule with your members of Congress and ask them to create a public record outlining your concerns. Use this link to find contact information for your member of Congress.

Asylum Seekers’ Participation in the Workforce Benefits All Americans

  • Asylum seekers are integral to our workforce and economy.
    People seeking asylum fill positions in sectors facing persistent labor shortages, which benefits all Americans. When more people are able to work, earn, and spend, overall demand for goods and services increases, and inflation is reduced.
  • Ending work authorization will harm individuals and families who have been in the U.S. for decades.
    Many people seeking asylum have deep roots in their communities. Additionally, the heavily backlogged asylum process can take several years to complete. During this time, individuals have to provide for their own well-being and that of their family–including transportation, education, and healthcare–in addition to navigating and paying for the legal process and associated fees. New, increasingly burdensome renewal requirements and expanded discretion for immigrant agents to deny renewal applications have the potential to deprive families of the means to support themselves and undermine the very self-sufficiency that the work permits are meant to promote.
  • This rule will create a more vulnerable workforce.
    Removing work authorization for individuals who are being continuously vetted and are living in the U.S. legally while going through a complex court process would push people into the informal economy, where labor protections are minimal. They would be more vulnerable to exploitation or wage theft, which in turn could depress wages, suppress labor protections, and disadvantage American workers at large.