A lot of people move to EAD ( don't renew H1 ) since it only costs more money for the company ( although it provides a small safety net in case your I-485 is in jeopardy somehow ).
Some tales fit neatly into the annals of the world's most oppressive regimes, including the plight of Boubacar Bah, who, after mysteriously suffering a skull fracture, was handcuffed by ICE officials while writhing in agony in his own vomit on the floor of a New Jersey detention center, then locked-up in an isolation cell for 13 hours without medical treatment and, finally, transported to a hospital in a coma where he later died, (See Secret Horror Stories: ICE Officials Hid The Truth About Immigrant Deaths In Detention HDt).
Several months ago homeland security secretary Janet Napolitano and ICE assistant secretary John Morton announced a review of the ICE detention operations with the stated goal of creating a "truly civil" detention system.
There is not much risk in moving to EAD but I don't get why your employer wants to cancel an H1 which is valid till 2010.
I have seen employers not wanting to extend an H1 if the employee has an EAD but going out of way to cancel a valid H1 seems extreme.
Do I need to buy an airline ticket for her in advance to show the urgency of AP? I have a EAD valid for next 2 years and H1 is also valid till Nov 2010, my employer want to cancel my H1 and to put me on EAD.
Is there any kind of risk involved in doing so, Please suggest.
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If you leave the country after changed status to F-1, you need to go for F-1 Visa stamp in order for you to comeback and continue studies.