May 2026, United States Citizenship and Immigration Services (USCIS) issued a policy memorandum signaling a shift in how employment-based permanent residence cases may be processed. The memorandum encourages adjudicators to deny adjustment of status (Form I-485) applications rather than issue requests for evidence (RFEs) in appropriate cases, with the expectation that many applicants could instead pursue immigrant visa processing abroad through U.S. consulates.
Considered alongside the current state of the Department of State (DOS), the policy raises an important question: can DOS realistically absorb an increase in these cases?
Recent reports suggest the answer is uncertain. Also see our June 2026 blog post on early implementation trends.
A Department Under Strain
A recent Financial Times article describes challenges facing the DOS. More than half of U.S. ambassadorial positions reportedly remain vacant, staffing has been reduced by more than 20%, and over 3,000 employees have departed. Career diplomats have been replaced at historically low rates, while consular sections – already managing high visa demand – are expected to operate with fewer personnel and reduced institutional experience.
Although embassies continue operating under Chargés d’Affaires, leadership vacancies and workforce reductions affect efficiency, consistency, and the DOS’ capacity to process complex immigration matters.
For years, employment-based applicants have generally viewed adjustment of status as the more predictable path to permanent residence because it allows them to remain in the United States while USCIS adjudicates the case. If a growing number of applicants are instead required to complete processing through U.S. consulates overseas, the operational realities at DOS become important.
What This Could Mean for Employment-Based Applicants
Longer Processing Times
Shifting cases from USCIS to DOS may transfer existing backlogs from one agency to another rather than reduce overall processing times.
Employment-based immigrant visa cases often require coordination across multiple government agencies, including the National Visa Center and the applicable U.S. embassy or consulate. Reduced staffing and fewer available interview appointments could lengthen the time required to complete permanent residence processing.
For employers planning workforce transitions or international recruitment, these delays may create uncertainty.
Greater Risk of Status Gaps
A key advantage of adjustment of status is that applicants may remain lawfully present in the United States while the application is pending.
Applicants pursuing consular processing, however, face a different set of challenges.
If an individual reaches the end of their underlying nonimmigrant status before an immigrant visa interview becomes available, questions may arise regarding whether they can lawfully remain in the United States while waiting for overseas processing. Depending on the facts of the case, applicants may need to maintain an independent nonimmigrant status for a longer period than originally anticipated.
This is particularly important for employees whose H-1B, L-1, E-2, TN, or other temporary status may be approaching expiration.
Employment Authorization May No Longer Be Available
Applicants adjusting status in the United States generally become eligible to obtain employment authorization documents (EADs) and advance parole while their Form I-485 is pending.
Applicants pursuing immigrant visa processing abroad generally do not receive these interim benefits.
As a result, employers may need to rely on extensions of underlying work-authorized status. Where extensions are unavailable, interruptions in employment authorization are a possibility worth planning for.
Travel and Mobility Challenges
Adjustment applicants typically receive advance parole allowing international travel while their green card application is pending.
Consular processing requires applicants to coordinate travel, visa interviews, medical examinations, and international logistics. Delays in visa issuance following an interview can result in employees remaining abroad for an extended period, disrupting business operations and personal obligations.
Variability in Visa Adjudications
Reduced staffing may also affect consistency.
Officers handling complex employment-based immigrant visa cases with less experience may produce greater variation in adjudications. Applicants and employers should anticipate more detailed interview preparation and more comprehensive supporting documentation.
Practical Considerations for Employers
Employers sponsoring permanent residence should evaluate whether employees have a viable strategy for maintaining work authorization if processing extends beyond original expectations.
Considerations include:
- Reviewing expiration dates for underlying nonimmigrant status.
- Identifying employees who may require additional H-1B, L-1, or other status extensions.
- Preparing for longer overseas processing timelines.
- Assessing business continuity if key personnel must remain abroad pending visa issuance.
- Building additional time into onboarding and workforce planning.
Looking at the Broader Picture
These developments may represent more than a temporary adjustment.
If USCIS increasingly directs applicants toward consular processing while DOS continues operating with reduced staffing and leadership vacancies, employment-based immigration processing may experience changes affecting where cases are adjudicated and the timing of permanent residence processing.
Immigration strategies that assumed adjustment of status as the default path warrant review, with greater attention to maintaining nonimmigrant status, preserving uninterrupted work authorization, and preparing for longer and more complex consular processing.
As federal immigration agencies continue to evolve, permanent residence planning will benefit from evaluating how the immigration system functions as an interconnected whole rather than focusing on any single agency’s policy change in isolation.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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