When it comes to expanding your business internationally, a common starting point is to bring foreign talent into the fold. Hiring overseas talent comes with complex immigration laws and requirements to abide by, and it certainly is not as straightforward as hiring someone native to and from the UK.
However, while it might be slightly complicated to understand and require some methodical planning and compliance risks to mitigate, bringing overseas employees into your company can be highly beneficial. This article outlines five key ways to ensure the safe and legal hiring of foreign workers.
1. Understand UK employment laws for overseas workers
As an employer based in the UK, you must comply with various employment legislation before you recruit overseas talent to work for your firm. These exist to protect you from being legally liable for unlawful employment, and also to protect foreign nationals from discrimination and exploitation.
As a result of Brexit and the ending of freedom of movement, UK employers have certain restrictions on whether they can sponsor or hire EU nationals, even if they have settled or pre-settled status. There are also criteria to meet if hiring from British Overseas Territories like Gibraltar, therefore, it might be best to seek professional legal advice before proceeding.
The key employment laws you will need to remind yourself about are:
- The Immigration Act - Sets out legal rights and responsibilities regarding visas, right to work, deportation and penalties for non-compliance.
- Equality Act - Protects against discrimination based on nationality, race, religion, philosophical beliefs, or immigration status. Employers must ensure equal treatment of employees in hiring, pay, benefits, promotions, and terminations.
- National Minimum Wage - Applies equally to domestic and foreign workers. Job offers below minimum wage thresholds will be refused for visas.
- Working Time Regulations - Limits working hours and sets rules for breaks and leave. Includes overseas and agency workers.
Understanding the frameworks in place helps create a legally compliant, ethical environment for overseas hires. Now let’s explore key steps for safe and successful international recruitment.
2. Do your visa homework
The first step is researching the different UK visa routes available to understand the criteria for eligibility, costs, processing times and obligations.
The main options include:
- Sponsor Licence - Required for all employers wanting to hire from outside the UK. Includes complying with reporting duties, record keeping and other legal requirements. Once secured, overseas candidates must apply for a work visa to gain entry to and remain in the UK. According to the Home Office 2022 migration statistics, 2,836,490 visas were granted, of which 15% were for work.
- Skilled Worker Visa - Required for all overseas candidates that have received a job offer from a licensed sponsor. Skilled professionals must score enough points under the UK point-based system (PBS).
- Senior or Specialist Worker Visa - Formerly known as the Intra-company Transfer visa, this allows overseas employees of multinational firms to come to or stay in the UK to fulfil an eligible role at the UK branch. The maximum amount is 5 years in any 6-year period if earning between £45,800 and £73,900, and 9 years in any 10-year period if earning more.
- Representative of an Overseas Business - Employees of an international newspaper, broadcaster, or news agency, who have been posted on a long-term assignment in the UK, will be granted access upon successful application for this visa.
- Global Talent Visa - For highly skilled professionals in science, engineering, humanities, academia, research, arts and digital technology. Entitles applicants to live and work in the UK for up to 5 years at a time.
- Youth Mobility Scheme - For eligible nationals aged 18-30 (or 35 if from New Zealand) from certain countries to work in the UK for up to 2 years.
3. Ensure continuity plans
It’s always wise to ensure that you have contingency plans in place in case an employee’s visa application is denied, or if a sponsor licence is revoked or refused. If you take proactive steps to ensure your processes and applications are watertight, this may not be needed, but it’s always wise to have a backup. When an employee’s visa is coming to an end, mitigate any employment gaps, either by visa extensions or by hiring additional employees.
Obtaining a sponsor licence and acting as a visa sponsor is mandatory for all employers. There are influential factors like your company size and industry, which can determine the licence tier you can secure. When it comes to sponsoring and hiring overseas talent, you will be committing to a long-term responsibility towards compliance and upholding standards. Therefore, it’s fair to say you should consult legal advice to ensure your processes are legally compliant before proceeding.
4. Ensure overseas sponsorship is safe and legal
- Allow for Lead Times
Applying for a sponsor licence takes time as an employer. A sponsor licence could take anywhere from 8 to 12 weeks, and sometimes longer if there is conflicting or misleading information that requires verification.
It’s also fair to assume that candidates will encounter unexpected time delays if applying for certain visas and aren’t overly familiar with the processes and terminology associated with such applications. The Skilled Worker Visa takes around 8 weeks, with faster options costing more, so it’s worth bearing the candidate costs in mind too.
Account for these timelines in your hiring plans, and consider a buffer in case additional documents, information or deadline extensions are needed.
- Comply with Immigration Rules
As a sponsor, you must follow all duties around record keeping, reporting and cooperation with audits. This includes keeping copies of passports, visas, payroll records, absences, accommodation inspections and other requirements like skills tests and salary thresholds. When immigration authorities request information, be transparent and diligent in your responses.
- Arrange Right-to-Work Checks
You must check every employee's right to work in the UK, including expiry dates for visas and whether they have fulfilled all legal obligations from their end. Conduct follow-up checks before visas expire, and keep copies for each mandatory check, as well as the sector-specific checks and those mandated by any regulatory bodies. Consulting the services of a specialist background check agency can help ensure all the legal boxes are ticked.
- Pay Immigration Skills Charge
Immigration skills charges are required if you assign a certificate of sponsorship to someone applying for a Skilled Worker or Senior or Specialist worker visa, although some exceptions exist. The amount you need to pay is based on your business size and the length of service of the worker. Therefore, it’s crucial to ensure these fees are accounted for when budgeting.
5. Plan for relocation support
Helping overseas employees successfully relocate is tricky but goes a long way in securing the best international talent. According to Globalisation Partners, providing relocation support leads to a higher retention rate among overseas hires.
Providing support with housing arrangements, transport, banking, insurance, schools, and more, will help significantly, and you can even consult an international relocation coordinator that helps businesses manage these processes effectively with bespoke programmes that balances the company’s needs and the worker’s situation.
Navigating UK immigration laws and restrictions for global talent recruitment can seem daunting but with careful planning, research and seeking professional assistance, becoming a reliable and ethical leader is well within reach.
Follow these steps outlined above to avoid compliance issues and build a legally solid, globally competitive workforce, and reap the benefits of hiring skilled overseas talent.
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