H4 to H1B COS approved, job offer revoked before the H1B effective date 1st Oct 2020

[Buta]

I am admitted to US last year on H4. A reputed company (not consultancy) sponsored my fresh H1B application for the fiscal year 2021 cap season for a full time position. LCA mentions beneficiary will not work for client or third party and intended begin date of employment noted as 24-sept-2020. My H1B COS application selected in lottery and approved H1B has new I-94 attached having Valid date from 01-oct-2020. In last week of September, Employer has notified me over a skype call that the intended position is no longer available so they can’t hire me, there is no written official communication regarding this.

1. No payroll has been run, can it be considered as a case of H1B not activated yet ?
2. I have no paystub, will it result in RFE or rejection if I file a status change from H1B to H4 ?

3. Is it advisable to do status change to H4 asap or I have 60 days time to find a new employer and initiate H1B transfer ?

I highly appreciate your suggestion, thank you.

[gopalakrishnach]

1. I feel H1B is not activated

2. H1B to H4 I feel good.

3. I feel new need new H1B next year in lottery since your lottery is not activated. I maybe wrong.