Advisories May 27, 2026

Immigration Advisory | USCIS Policy Update: Increased Discretion in Adjustment of Status Adjudications

Executive Summary
Minute Read

A new policy memorandum from U.S. Citizenship and Immigration Services (USCIS) may bring more scrutiny to adjustment of status (AOS) decisions. Our Immigration Team examines the implications for employers.

  • More immigrant visa applicants may be required to depart the United States to complete processing at a U.S. consulate
  • The policy provides no effective date, imposes no new filing requirements, and does not define a clear standard
  • Though the memorandum doesn’t change underlying law, it signals USCIS’s clear intent to apply heightened scrutiny to AOS cases

U.S. Citizenship and Immigration Services (USCIS) issued policy memorandum PM-602-0199 on May 21, 2026, providing new internal guidance on the adjudication of adjustment of status (AOS) applications under Immigration and Nationality Act Section 245. The memorandum signals a shift toward a more cautious and discretionary review framework, which may have important implications for foreign nationals pursuing permanent residence from within the United States.

What the Policy Says

Heightened discretion in AOS adjudications

The memorandum emphasizes that adjustment of status is an extraordinary form of relief granted at the discretion of the government—not a right. USCIS is directing officers to apply this principle more rigorously when adjudicating AOS applications.

Consular processing reinforced as the standard pathway

USCIS reiterates that consular processing abroad remains the default method for obtaining an immigrant visa. Adjustment of status within the United States is framed as a limited exception. As a result, more applicants may be required to depart the United States to complete immigrant visa processing at a U.S. consulate, rather than remaining in the country while their green card application is pending.

Totality of the circumstances review

Adjudicating officers are instructed to evaluate AOS applications under a “totality of the circumstances” standard, weighing both favorable and unfavorable factors, including:

  • Family and community ties in the United States.
  • Immigration history and compliance with prior status.
  • Evidence of good moral character.
  • Criminal history.
  • Status violations or unauthorized employment.
  • Fraud, misrepresentation, or other conduct inconsistent with the purpose of admission
  • Whether the applicant was expected to depart the United States before seeking permanent residence.

Matter of discretion

Approval will depend on whether the applicant merits permanent residence as a matter of discretion and whether granting AOS is in the best interest of the United States. The memorandum indicates that when AOS is denied on discretionary grounds, officers are expected to explain why negative factors outweigh positive issues in a written decision.

Potential Impacts and Trends

While the policy indicates some AOS applicants may fare better than others under this policy, individuals with prior immigration violations such as overstays or unauthorized employment, as well as those who entered on parole or hold single-intent visas, will likely face increased scrutiny, with other adverse discretionary factors further heightening risk of denial. Although the memorandum introduces no immediate procedural changes, it points to a shift in adjudication trends, with a likely rise in requests for evidence, closer review of discretionary factors, additional interview questions, and potentially more frequent denials.

At the same time, it is important to note that critical details remain unsettled. Because the memorandum provides no effective date, imposes no new filing requirements, and does not define a clear standard for meeting the heightened discretionary threshold, the practical impact remains uncertain and will depend on how USCIS implements the guidance and whether it faces legal challenge.

Implications for Employers and Next Steps

While not directed specifically at employment-based cases, the memorandum signals more rigorous discretionary review particularly if consular processing is available, or the applicant presents potential issues such as status violations, unauthorized employment, or misrepresentation. Employers should be prepared for increased scrutiny and the possibility that some employees may be required to complete immigrant visa processing abroad.

Please note that the memorandum does not change the underlying law but signals USCIS’s clear intent to apply heightened scrutiny to AOS cases. We expect additional guidance and changes in adjudication trends in the coming weeks and months. We are actively monitoring developments and will share updates as more information becomes available.


If you have any questions, or would like additional information, please contact one of the attorneys on our Immigration team.

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Meet the Authors
Media Contact
Alex Wolfe
Communications Director