US May End OPT or Impose Stricter Rules Under New Proposal

The United States Department of Homeland Security is preparing stricter regulations for the Optional Practical Training (OPT) programme, which allows international students to work in the US after graduation.

The proposed changes, listed in the federal Unified Agenda, aim to strengthen oversight of the programme, prevent fraud, address national security concerns, and ensure that US workers are not displaced by foreign employees. DHS officials emphasised that the programme itself is unlikely to be eliminated, though substantial reforms are expected.

OPT permits F-1 nonimmigrant students to work for up to 12 months during or after their studies, with STEM graduates eligible for a 24-month extension. Critics argue that the programme provides employers with lower-cost foreign labour and may reduce job opportunities for domestic graduates. 

Legislative proposals, such as the ‘Fairness for High-Skilled Americans Act of 2025,’ have called for the programme’s abolition. Representative Paul A. Gosar has claimed that OPT disadvantages US workers by incentivising companies to hire international graduates at reduced wages.

High-ranking officials have voiced support for tighter controls. USCIS Director Joseph Edlow has expressed support for ending OPT, and policy analysts, including Jessica Vaughan from the Centre for Immigration Studies, have urged Congress to reconsider visa categories and strengthen oversight. Some lawmakers have suggested taxing OPT earnings by reversing the current exemption from FICA taxes.

Stricter regulations could affect international student enrolment significantly. In the 2023/24 academic year, around 200,000 students participated in OPT or STEM OPT. Analysts predict that tougher rules could reduce new enrolments by 30–40 per cent, resulting in a 15 per cent decline across universities, a potential $7 billion loss in revenue, and over 60,000 fewer jobs in sectors reliant on international students. 

DHS has also proposed changing the admission period for F, J, and I visa holders from the current “duration of status” model to a fixed time period. Currently, students have a 60-day window after completing studies or authorised training to leave the US or apply for another visa, such as an H-1B temporary work visa or an O visa for individuals with extraordinary abilities in fields including science, arts, or business.