What’s Happening

On May 21, 2025, U.S. Citizenship and Immigration Services (USCIS) announced the issuance of Policy Memorandum PM-602-0199 (“PM”), providing sweeping new guidance on the exercise of discretion in adjustment of status (AOS) applications under INA § 245. This memorandum represents a significant shift in USCIS adjudication policy, emphasizing that adjustment of status is a privilege, not a right, and that discretionary denials should be used more robustly even where applicants are otherwise statutorily eligible.

This guidance will have immediate and substantial implications for employers sponsoring foreign national workers for permanent residence, particularly those with employees who have any criminal history, immigration violations, or other potentially negative factors in their record. While the PM will have implications for all types of adjustment of status applications, this post focuses primarily on the impact of the PM on employment-based filings.