TPS Terminations: Key Employer Takeaways for Nepal, Honduras & Nicaragua

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In an anticipated move, U.S. Citizenship and Immigration Services (USCIS) has updated its Temporary Protected Status (TPS) webpages to reflect the termination of TPS designations for Nepal, Honduras, and Nicaragua, a development that carries significant implications for employers and their workforce planning.

The Legal Landscape Shifts Again

The Ninth Circuit Court of Appeals recently stayed a district court order that had postponed the termination of TPS for these countries. As a result:

  • TPS for Nepal officially terminated on August 20, 2025.
  • TPS for Honduras and Nicaragua will terminate on September 8, 2025.

This marks the end of a legal saga that began with challenges to the Department of Homeland Security’s (DHS) original termination decisions. While litigation continues, the stay allows DHS to proceed with winding down protections for nationals of these countries.

What This Means for Employers

Employers should be aware that affected TPS holders will lose both work authorization and protected status unless they have transitioned to another lawful immigration status. This could result in:

  • Loss of key employees who were relying on TPS-based work authorization.
  • Form I-9 reverification obligations, especially for those whose employment authorization documents (EADs) were auto-extended under prior Federal Register notices.
  • Employers may face increased scrutiny from Immigration and Customs Enforcement during I-9 inspections if records are not updated promptly or if individuals without valid work authorization remain employed.

Action Items for Employers

Work with legal counsel to review your workforce to:

  • Identify employees who may be impacted by the TPS terminations
  • Review Form I-9 records and ensure reverification is completed where necessary and that documentation aligns with current USCIS guidance.

Looking Ahead

While the legal battle is not over, as the plaintiffs may seek review by the U.S. Supreme Court, the immediate impact is clear: Employers must act now to mitigate disruption and support their workforce through this transition.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

© Seyfarth Shaw LLP

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