On May 22, 2026, USCIS issued a new policy memorandum that immediately sent shockwaves through the immigration community. Within hours, immigration attorneys, employers, students, temporary workers, and families across the country were asking the same question:
Has USCIS effectively ended Adjustment of Status?
The short answer is no — but the new policy memorandum is still a very significant development, and the concern surrounding it is understandable.
The new memorandum signals a major shift in how USCIS intends to approach discretionary immigration benefits moving forward, particularly Adjustment of Status (“AOS”) applications filed by individuals already present in the United States. While the underlying law has not changed, the agency’s tone, priorities, and adjudicatory philosophy clearly have.
For applicants, employers, and families alike, the practical impact could be substantial.
What Did USCIS Actually Announce?
USCIS issued Policy Memorandum PM-602-0199, titled:
“Adjustment of Status is a Matter of Discretion and Administrative Grace, and an Extraordinary Relief that Permits Applicants to Dispense with the Ordinary Consular Visa Process.”
The memorandum repeatedly emphasizes that Adjustment of Status under INA §245 is not an entitlement, but rather a discretionary form of relief that allows applicants to avoid the “ordinary” immigrant visa process through U.S. consulates abroad.
The accompanying USCIS press release used particularly strong language, stating:
“From now on, an alien who is in the U.S. temporarily and wants a Green Card must return to their home country to apply, except in extraordinary circumstances.”
That statement understandably triggered alarm throughout the immigration community because Adjustment of Status has long been one of the most commonly used pathways to permanent residence for eligible applicants already in the United States.
Does This Mean Adjustment of Status Has Been Eliminated?
No.
Congress has not repealed INA §245, and USCIS cannot eliminate Adjustment of Status through a policy memorandum alone.
Instead, what USCIS appears to be doing is reframing Adjustment of Status as an “extraordinary” discretionary benefit that officers should grant more sparingly and with heightened scrutiny.
Many immigration attorneys and commentators have noted that much of the memorandum relies on longstanding language from court decisions and prior Board of Immigration Appeals cases describing Adjustment of Status as a matter of “administrative grace.”
In that sense, portions of the memo are not necessarily “new law.” What is new is the agency’s clear emphasis on aggressive discretionary review and its stated preference for consular processing over Adjustment of Status whenever feasible.
Why Are People So Concerned?
Because even without changing the statute itself, USCIS may dramatically change how cases are adjudicated.
The memorandum repeatedly instructs officers to consider whether applicants truly warrant a favorable exercise of discretion and emphasizes that Adjustment of Status should not “supersede the regular consular visa-issuing process.” The memo also directs officers to carefully examine:
- immigration status violations;
- unauthorized employment;
- visa overstays;
- conduct inconsistent with temporary status;
- fraud or misrepresentation; and
- whether applicants failed to depart when expected.
For many applicants who have built careers, businesses, and families in the United States while transitioning from temporary status toward permanent residence, this language raises serious concerns about how future discretionary decisions may be made.
Could This Affect Employment-Based Applicants?
Potentially, yes.
Employment-based immigrants may be particularly affected because many have historically relied on Adjustment of Status while already working lawfully in the United States under H-1B, L-1, O-1, TN, E-2, or other temporary visa classifications.
At the same time, the memorandum does acknowledge that dual-intent visa categories remain legitimate and specifically notes that applying for Adjustment of Status is not inherently inconsistent with maintaining lawful status in a dual-intent category.
That distinction is important.
However, USCIS also makes clear that maintaining lawful status alone may not automatically justify approval as a matter of discretion.
In practical terms, this likely means employment-based applicants should expect closer scrutiny of their immigration histories, compliance records, and overall equities moving forward.
Could This Affect Family-Based Applicants?
Yes.
Family-based applicants — particularly spouses and immediate relatives already living in the United States — are also understandably concerned about the possibility of increased denials or pressure toward consular processing abroad.
Critics of the policy argue that forcing applicants abroad could create significant hardship, including:
- family separation;
- employment disruption;
- travel risks;
- unlawful presence complications; and
- lengthy consular processing delays.
At the same time, the memorandum itself confirms that officers must consider all positive and negative factors under the “totality of the circumstances.”
That means strong family ties, stable employment, long-term residence, and other positive equities may remain highly important.
Is USCIS Likely to Face Legal Challenges?
Almost certainly.
Immigration attorneys and advocacy organizations have already begun raising questions about whether the policy exceeds USCIS authority or improperly attempts to narrow a statutory immigration benefit established by Congress. Additional guidance and litigation are likely to follow.
At this stage, however, there remain many unanswered questions, including:
- how aggressively field offices will implement the memo;
- whether different categories will be treated differently;
- how pending cases may be affected;
- whether Requests for Evidence (RFEs) will increase;
- whether denial rates will significantly rise; and
- how courts may ultimately respond.
What Should Applicants and Employers Do Right Now?
First and foremost: do not panic.
Adjustment of Status still exists under federal law, and USCIS officers are still required to conduct individualized discretionary analyses based on the totality of the circumstances.
However, applicants and employers should recognize that the immigration environment has clearly become more discretionary, more compliance-focused, and more heavily scrutinized.
That means careful preparation matters now more than ever.
Cases that may once have been viewed as relatively routine filings could now require much more strategic presentation, stronger documentation, and more proactive legal analysis.
What Comes Next?
This policy memorandum may ultimately prove to be one of the most consequential immigration developments of 2026. Whether it becomes a lasting structural shift or faces substantial limitation through litigation remains to be seen.
What is already clear, however, is that USCIS officers are being instructed to apply far more rigorous discretionary review to Adjustment of Status cases moving forward.
In our next article, we will examine the practical implications of this policy shift, including the positive and negative discretionary factors USCIS officers may now emphasize in Adjustment of Status cases and what applicants, families, and employers can do now to strengthen their filings in this increasingly challenging environment.
At Buda Law Group, we are closely monitoring these developments and helping clients navigate this rapidly changing immigration landscape with careful strategy, meticulous preparation, and individualized legal guidance.