Businesses need employees who can get the job done and ensuring an organisation has the best skills and labour to deliver its business needs should always be at the forefront of business management and labour forecasting. However, this has never been more important than it is now, with Brexit D-day fast approaching.
With uncertainty about whether the UK will exit the EU with a deal or not on 29 March 2019 reaching an all-time high in advance of tonight’s MP vote, people are understandably concerned and confused about the impact of Brexit on EU nationals working in the UK. For some employers, EU nationals make up a large proportion of their workforce and, deal or no deal, these businesses are likely to see an impact of the end to free movement.
EU Worker Rights After Brexit
The Government sought to provide some certainty and comfort to those existing UK-based EU nationals when it announced a settlement scheme in June 2018. The current rules on residence will continue to apply to those EU nationals currently living and working in the UK during the Brexit ‘implementation’ period between 30 March 2019 to 31 December 2020. EU nationals and their family members who wish to remain in the UK after the implementation period must apply for pre-settled status (those with less than five years of residence) or settled status (those with five years of residence).
This will be a three-stage application process through, which applicants must:
- Prove their identity
- Demonstrate that they live in the UK
- Declare that they have no serious criminal convictions
- Pay a £65 fee
Those who already have valid permanent residence or indefinite leave to remain documentation will also be able to exchange it for settled status.
Some employers, such as the restaurant chain Carluccios and Heathrow Airport, have already indicated their intention to assist the EU nationals within their workforce to gain settled status by paying the £65 fee on their behalf.
New Immigration System
In December 2018, the Government published its White Paper on Immigration, which sets out its plans to introduce a new immigration system and end free movement after the implementation period. Although the immigration rules are yet to be finalised, it is clear that the Government intends that any EU nationals wishing to come to the UK to live and work will be subject to the same immigration rules as non-EU nationals.
The new system will include:
- A skills-based route open to all nationalities
- Lowering the skills threshold on the skilled workers’ route to include medium-skilled workers
- No cap on numbers on the skilled workers’ route, meaning that a business will be able to hire any suitably qualified migrant
- The abolition of the resident labour market test
- A new time-limited route for temporary short-term workers of all skill levels, including seasonal low-skilled workers
Comment
Some are fearful that the Government’s plans on migration will represent a backward step and that the new immigration rules will be far less accommodating for employers, many of whom may well have to register as sponsors and deal with the associated administrative burden and costs involved in accessing those employees with the appropriate skill set for their business.
It is prudent for those employers likely to be affected from a workplace perspective to take some time to audit and risk assess these issues.
Businesses are advised to:
- Consider what proportion of their workforce will be affected by the end of free movement
- Provide access to support and information to EU nationals – consider financial support for settlement fees.
- Monitor developments
- Develop contingencies to account for the likely changes in relation to the immigration process
How Nelsons can help
If the issues in this summary article may affect your business and you would like to discuss workforce planning, please do not hesitate to contact our Employment Law team on 0800 024 1976 or via our online form.