Yes, employer must pay airfare. No, there is no grace period. However, in reality, if you are diligently seeking a job for a month, you can ask for discretion, which will probably be granted. This has been my personal experience.
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I agree with the first answer. While you are technically out of status, you will not face a bar to reentry if you leave within 180 days of falling out of status. You may want to speak to an attorney to get advise on your options.
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Absolutely not. Yes, the employer is liable to pay you for a one-way return ticket to your home country.
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I agree, there is no real "grace period," but employer does need to pay your way home. Depending on your particular situation, you may be able to request a 'Change of Status" to a different visa category (for example, if you have a spouse who is on an F1, you can change to F2).
Alternatively, if you find a new employer with similar job soon, you can file a "change of employer" and "port" your H1-B. An experienced attorney could help you do this properly.
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I am sorry! Suggest to your employer that you stay on unpaid leave/take accrued vacation time for a few weeks till you find another job and can have the new employer file for a transfer H1.
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