Texas DACA ruling could strip Dreamers of their right to work and access to education: Here's why it matters nationwide

Tens of thousands of Deferred Action for Childhood Arrivals (DACA) recipients living in Texas may soon lose their legal right to work and access to in-state tuition under a recent court decision that applies only within the state. The US Fifth Circuit Court of Appeals ruled that portions of the 2022 DACA regulation, specifically those granting employment authorisation and lawful presence, are unlawful. The ruling leaves in place the protection from deportation, but separates it from the other key benefits.

Following the court’s decision, the geographic scope of the nationwide injunction was narrowed to Texas. As a result, federal immigration officials submitted a proposal detailing a Texas-specific implementation plan, where access to work permits and lawful presence would depend on a recipient’s recorded address with US Citizenship and Immigration Services (USCIS).

Work authorisation at risk for over 90,000 in Texas
Texas is home to nearly 90,000 DACA recipients, making it the second-largest DACA population in the US. Under the proposed changes, individuals living in Texas could lose their work authorisation and lawful presence within 15 days of relocating to the state. New applicants and those reapplying after a lapse would be granted only deferred action, without the ability to legally work or reside in the country.

The federal government’s plan would enforce this change by using the address on file with USCIS. If the court-ordered stay currently shielding certain recipients—those who received DACA before July 16, 2021—is lifted, they could also lose their work permits on 15 days’ notice. DACA renewals are being processed as usual for now, but future protections may change if the court finalises the proposed implementation.

As reported by the American Immigration Council, this policy shift has serious economic consequences. In Texas, 97% of DACA-eligible individuals are employed, contributing a combined $8.2 billion in household income and paying nearly $2 billion in state, local, and federal taxes each year.

Educational access under threat
Legal uncertainty is also affecting education access. Since the injunction was issued in June 2025, at least four Texas colleges have denied DACA recipients in-state tuition, restricting access for students who have long lived and studied in the state.

According to the American Immigration Council, these developments are already altering the higher education landscape in Texas. The Texas Department of Public Safety has also suspended issuing commercial driver’s licences to non-citizens, including DACA recipients, further affecting their career prospects.

National implications beyond Texas
If the Texas model is adopted elsewhere, more than 530,000 DACA recipients nationwide could be pushed out of the workforce within two years. Employers would face billions in turnover, recruitment, and retraining costs. The American Immigration Council reports that many industries, including healthcare, education, and transport, heavily rely on DACA recipients.

The case is now back in the US District Court with Judge Andrew Hanen, who will determine how DACA operates in Texas moving forward.