Can you post with lower-case letters? it is really annoying (no offense) to read like a poster in close range.
I am sorry for his situation but well, you know how the law is and she should know about it (since she went through the process)...it states clearly that spouse of LPR are under visa number accountability and a priority date must become current so he can apply for AOS if he is the US or CP if he is outside the US.
To go through CP or AOS is the same deal and under the same law.
About work and all that, well he is not entitle to it unless he can apply for AOS, right now he is out of status. He knew that he was not entitle to adjust, meanwhile he could stay in another non-immigrant category which now is too late because, how long he had overstayed? in what type of visa he enter? If the application was file after April 2001 for him, I don't think he will be able to adjust status until she became a USC where his overstay will be forgiven as an immediate relative of a USC.
If he goes outside the US, he will be bar for 3-10 years and his wife (once becomes a USC or his priority and visa # becomes available, whatever comes first) will have to apply for a waiver since he won't be able to return.
There only two ways to immigrate: throught family members and employment based. Both you must wait depending in the category that you are in.