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What can employers take from the latest migration statistics?

Earlier this month we blogged on the CIPD's latest quarterly labour market snapshot which found that the number of applicants per vacancy had significantly decreased across all skill levels in the last 12 months. The ONS has now released its August quarterly report on the UK migration statistics for the year ending March 2018 and the report highlights some interesting shifts in the patterns of EU migration in and out of the UK.
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What can employers take from the latest migration statistics?

CIPD reports that a reduced amount of EU to UK migration has caused a skills shortage in the UK

According to CIPD's latest quarterly labour market snapshot, a slump in the number of EU citizens migrating to the UK has exacerbated skills shortages in the UK.
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CIPD reports that a reduced amount of EU to UK migration has caused a skills shortage in the UK

Migrants’ rights in the spotlight

Brexit is thought to be one of the reasons why the Tier 2 (General) restricted Certificate of Sponsorship cap has been reached. However, we may at last be seeing some reprieve from this.
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Migrants’ rights in the spotlight

New entrepreneurial visa route announced

In a move announced by the Home Secretary yesterday, foreign nationals who want to start a business in the UK will be able to apply for a "start-up" visa.
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New entrepreneurial visa route announced

Tier 2 Restricted Certificates of Sponsorship – Quota hit

Tier 2 Restricted Certificates of Sponsorship (CoS), which employers use to employ non-EU/EEA nationals in the UK, are scarce.
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Tier 2 Restricted Certificates of Sponsorship – Quota hit

The “Windrush” generation – the similarities for EU nationals

The UK government's immigration minister, Caroline Nokes, has set out the government's commitment to support the "Windrush" generation. The "Windrush" generation is a reference to the ship, the Empire Windrush, that brought workers from the West Indies to Britain in 1948.
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The “Windrush” generation – the similarities for EU nationals

People, Reward and Mobility – Annual update and diversity review – May 2018

The People, Reward and Mobility team are pleased to invite you to our annual update seminar. Designed to bring you up to date with the latest key developments affecting your workforce, we will review:

  • the top employment cases for 2017 and 2018 and legislative changes, together with their implications for your business;
  • key changes in pensions and other employee reward schemes and their effects on your business;
  • the latest implications from Brexit on immigration matters, including what you can be doing now to be prepared; and
  • diversity and inclusion, with a spotlight on what #MeToo means for your business and gender pay gap reporting, a year into the regime.

The seminar will be preceded by a breakfast buffet and an opportunity to network. We will hold a complimentary legal clinic after the event.

For further information (including dates), please visit our Events page:

Events

People, Reward and Mobility – Annual update and diversity review – May 2018

Mergers and acquisitions post completion immigration actions

Where an organisation has a Tier 2 Sponsor Licence to employ non-EEA workers they have a responsibility to report to the Home Office when certain events occur. Examples include where the organisation moves premises, changes its name, or there is a merger, takeover, de-merger or, more generally, any transaction where there is a change of ownership.

Even though we are approaching the 10-year anniversary of the introduction of Tier 2, there continues to be a lot of confusion and misunderstanding regarding the sponsor licence reporting process, especially in relation to transactions. With strict deadlines for reporting (20 days from the date the event occurs) it is critical to understand the events that need to be reported, and any additional actions you must complete.

Preparation in advance of a transaction is key – if you only start assessing the necessary actions once a transaction has completed it is usually too late and there is a risk that the deadline will be missed. This could jeopardise the immigration status of any sponsored employees and your ability to sponsor employees in the future.

The questions you need to ask to determine necessary actions are:

  1. What type of transaction is taking place – is it a merger, acquisition, demerger, share sale?
  2. What entities are involved and do they currently have a Tier 2 sponsor licence?
  3. Will there be a change in the direct ownership of the sponsor licence entity, or will the change in ownership be higher up the chain?
  4. Will TUPE apply?
  5. Who are the Tier 2 visa holders impacted by the transaction?
  6. Will there be secondary changes now or in the future that need to be reported, for example will there be a change to the name or location of the organisation?

Depending on the responses to these questions the necessary actions in relation to the organisation could be as simple as a short report to the Home Office, or as complex as needing to apply for a new Tier 2 sponsor licence. In respect of each employee with a Tier 2 visa, again it may be as simple as a short report to the Home Office or as complex as each employee needing to apply for a new visa (which they may not be eligible for).

In addition, a new right to work check needs to be completed for any employee who TUPE transfers into your organisation.

Given the complexities in identifying the necessary actions, the strict timeframes with which to comply, and the negative impact of making an error, it is critical to think about immigration early on in the corporate deal.

A final point to consider is that, if the transaction includes operations outside the UK, similar immigration compliance actions may be required in each location, adding to the overall complexity and risk position.

Mergers and acquisitions post completion immigration actions

Don’t forget to sign up to our May 2018 annual update and diversity seminar

Don’t forget to sign up to our May 2018 annual update and diversity seminar

Croatian workers restrictions lifted

In a written statement to Parliament earlier this week, Caroline Nokes (the Minister of State for Immigration) announced that the transitional restrictions on Croatian workers would not be extended and will come to an end on 30 June 2018. The significance of this is that Croatian citizens will now be able to seek work in the UK on the same basis as citizens from other EU member states.
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Croatian workers restrictions lifted