What the Recent TPS Revocations Mean for Your Business (And Your Form I-9s)

Imagine finding out that one of your most reliable, long-term workers can no longer legally work for your business… effective immediately.

That’s what happens when a sudden change in federal immigration law leaves you holding the bag.

For many small business owners, this isn’t a hypothetical scenario.  Following recent executive actions and Supreme Court rulings, the Department of Homeland Security (DHS) has officially ended Temporary Protected Status (TPS) for several countries, including Haiti, Syria, Yemen and Venezuela.

If you employ workers under a TPS, this sudden shift puts you squarely in the middle of a tough spot: balancing loyalty to a great employee with strict federal payroll and Form I-9 rules.  Below is a plain-English breakdown of what is happening, what the law requires you to do and how to navigate it without exposing your business to severe penalties.

What Just Happened to TPS Work Authorizations?

Temporary Protected Status is a humanitarian program created by Congress that allows foreign nationals from designated countries experiencing crisis, such as war or environmental disaster, to live and work legally in the U.S. for set periods.

When a nation’s TPS designation is terminated, the Employment Authorization Documents (EADs) issued under that program expire on the official termination date.

For example, TPS for Haitian nationals officially ended on July 27, 2026.  On that date, any EAD issued strictly under Haiti’s TPS umbrella lost its legal validity for work authorization.  This should not come as a surprise, as the first word in their status is “temporary,” although for Haiti, their TPS has been in effect since 2010.

The Form I-9 Employer Trap: What You Must (and Cannot) Do

As an employer, federal law requires you to maintain a valid Form I-9 for every employee on your payroll.  When a work permit expires, due to a TPS revocation, you are caught between two major federal obligations:

1. The Requirement to Reveri​fy

Under Section 274A of the Immigration and Nationality Act, employers must conduct Form I-9 reverification (Supplement B, formerly Section 3,) found on page 4 of the current Form I-9, on or before the date an employee’s work authorization expires.

• If an employee cannot present alternative documentation showing they are legally authorized to work in the U.S., such as a Green Card, a new visa or a pending asylum EAD, you cannot legally retain them on payroll.
• Continuing to employ someone after their work authorization expires exposes your business to civil fines for unlawful employment and potential criminal liabilities.

2. Avoiding Anti-Discrimination Violations

While you must enforce reverification, you must also be careful not to violate anti-discrimination rules enforced by the Department of Justice:

• Don’t target specific workers: You cannot single out employees for reverification based on their national origin, accent or surname. Reverification must strictly follow document expiration dates recorded on their Form I-9.
• Don’t demand specific documents: You cannot demand that an employee show a specific replacement document, e.g., Green Card. The employee has the right to present any valid document from “List A” or “List C” on the Form I-9.

Action Plan for Employers

If you rely on a workforce that may include TPS beneficiaries, here are the immediate steps you should take:

1. Audit Your Form I-9 Records: Review Section 2 of your current Forms I-9 to identify any EADs with upcoming or recently-passed expiration dates.  (If you use PayMaster’s HR and onboarding modules, your digital I-9 records make tracking these dates much simpler!)
2. Issue Advance Written Notice: Give affected employees advance notice (typically 60 to 90 days before expiration) that their work authorization document is expiring and that they will need to present updated proof of work eligibility.
3. Engage with Compassion and Legal Clarity: Many long-time employees may be applying for alternative legal statuses, such as family-based petitions, asylum or other non-immigrant visas, that grant a separate EAD.  Ask if they have received a new work permit or receipt notice, under another legal category, and obtain proof.
4. Do Not Attempt “1099” Workarounds: Misclassifying an employee as an independent contractor (Form 1099) does not bypass federal immigration laws.  Non-citizens must still be legally authorized to perform work in the U.S., whether as an employee or an independent contractor.

The Bottom Line

Losing valued team members overnight is tough for any small business, but failing to audit your payroll compliance can lead to far worse financial consequences during a federal audit.  If you do hire anyone on a TPS, regularly visit and keep an eye on the DHS website for the latest news and updates on upcoming expirations. 

Ethiopia & South Sudan: DHS issued termination notices for both designations, but temporary, short-term administrative extensions for work permits have been issued while lower court proceedings finalize following the Supreme Court’s ruling.

These nations have statutory expiration dates approaching in late 2026, and DHS has indicated it does not intend to renew or extend them:

Country	Expiration Date	Population
El Salvador	September 9, 2026	~170,000 workers
Sudan	October 19, 2026	~1,800 workers
Ukraine	October 19, 2026	~100,000 workers
Lebanon	November 27, 2026	~140 workers