Major Modifications to the UK Skilled Worker Visa
The UK significantly modified its immigration laws on March 14, 2024, and the new regulations will go into force on April 4, 2024. Interestingly, these new regulations will impact many firms and their workers who require sponsorship for a UK work visa.
For skilled workers who get their Certificate of Sponsorship before April 4, 2024, and who have continued to be authorized as skilled workers since then, transitional procedures are in place until April 3, 2030. Listed here are the biggest modifications:
Raising The Prerequisites For Salaries
Notably, as part of the transitory arrangement, a number of wage rise requirements will also apply to current visa holders. These requirements are pertinent to applicants for skilled worker visas.
- As previously reported and stated, the general salary threshold has been raised from £26,200 to £38,700 per year.
- Salary threshold changes based on going rates: Updates are also made to the “going rates”—the salary thresholds particular to a given occupation—to the median income for every kind of role. With rare exceptions for jobs on national pay scales and those in health and care that are not on a national pay scale, new thresholds have significantly risen from the 25th percentile to the 50th percentile (median). Since the pay criteria for sponsored employees have increased, many companies may need to review their current salary ranges for all staff members in order to provide equitable remuneration for all workers.
- Recent changes to the going rates of pay for both nationally scaled occupations and non-nationally scaled health and care occupations: The Office for National Statistics (“ONS”) and the most recent national pay scale data are in accordance with these.
- Regarding those who fall within the preview of the interim arrangements: For those with a Certificate of Sponsorship assigned on or after April 4, the threshold will rise from £26,200 to £29,000 per year, with the general threshold based on the 25th percentile. Inflation is taken into account here.
- Adverse Effects on Senior or Expert Employees in the Worldwide Business Mobility Paths: In addition to updating going rates using the general salary level, which will now be £48,500 annually instead of £45,800.
Cancellation Of The Shortage Occupation List
In lieu of the Shortage Occupation List (SOL), the Immigration Salary List (ISL) includes positions for which the Explanatory Memorandum states that “the Government thinks it is sensible to offer a discounted salary threshold.” Only 21 occupations are on the list, which is more restrictive than the prior Shortage Occupation List. Of the 21 vocations, 18 are suggested for the ISL that covers the entire United Kingdom, and 3 are suggested for the ISL that covers Scotland alone.
The list is shorter because it includes the increased wage threshold criteria for skilled workers that take effect on April 4, 2024 and the elimination of the 20% discount that was previously applied to job roles on the SOL.
A lower general salary threshold of £30,960 instead of £38,700 is the primary advantage for firms sponsoring an employee in a role on the new ISL. The going minimum rates, which still need to be met and are being raised, will not be affected by the ISL drop, however.
Also, you can read How Employees Become “Unsackable” Amid an Impending Recession.
System Updates For Ons Skills Occupational Codes
Additionally, in place of the current Office for National Statistics (ONS) SOC 2010 coding system, the Home Office is implementing the new ONS Skills Occupational Codes (“SOC”) 2020 coding system. This will require companies to review their choices about which code is best in certain situations and to make modifications to certain codes.
Apart from the modified system of job categories coding, the going rates for salaries will rise from the 25th to the 50th percentile. Employers will thus need to evaluate each newly created and sponsored function in light of the increased salary level in real-world operations.
Route Modifications For Partners And Spouses
Increased from £18,600 to £29,000 is the minimum yearly income needed to be eligible under Appendix FM for spouses or unmarried partners. The government announcement mentions that it will climb to roughly £34,500 at an indeterminate period later in 2024 and to nearly £38,700 “by early 2025,” though it does not yet specify a date for such increases.
Proactive modifications eliminate the need for children to have supplementary money. Savings above £16,000 are still eligible to be applied towards fulfilling the minimum income criteria. The minimum savings amount is £62,500 to £88,500.
The partner route will be modified for applications submitted on or after April 11, 2024. If someone applies successfully for the first time as a fiancé, proposed civil partner, or partner before April 11, 2024, they will be granted transitional arrangements. Prior to any changes to the regulations, they must satisfy the current financial criteria.
Additional Read: UK Employers Hustle to File Skilled Worker Visas Prior to Fee Spike
A Rise In The Number Of Audits For UK Compliance
The Home Office has released the last quarter of 2023’s Sponsorship Transparency Data. It indicates a notable rise in the number of license suspensions and revocations during the fourth quarter of 2023.
Namely, 105 sponsors had their licenses withdrawn (up from 62 in the previous quarter), and 241 sponsors had their licenses for skilled workers suspended (up from just 91 in the previous quarter). Overall, 84,730 licenses for Tier 2 routes is a pretty small number of sponsors, so these numbers are still quite tiny, but they represent significant improvements in enforcement and compliance action that we have observed across all industries and clientele.
Based on this data, firms should be cautious, seek guidance, and be ready as the sponsorship system becomes more complex. Businesses should be reminded regularly that, as soon as they are registered as license holders, they carry an increased responsibility regarding reporting and record-keeping.
All holders of licenses should be aware of their primary responsibilities, which are:
- Notifying the appropriate parties of any significant modifications to the company’s information (such as name, address, or immediate corporate ownership).
- Confirm that the license contains the most recent contact information, especially for the Authorising Officer, and that any names of former employees are replaced with those of new, current staff members.
- Notifying management of any modifications to the sponsored worker’s employment terms (e.g., relocation to a new workplace, termination of employment, the shift in responsibilities or job title, pay reduction, maternity/paternity leave, or other approved leaves longer than four weeks).
At Dynamic Staffing Services, we are committed to staying up-to-date on the latest changes in UK immigration work visas. As a reputable recruiting firm, we recognize how crucial it is to match qualified candidates with your available roles and support employees during their move. By staying on top of the latest regulations and guidelines, we can provide invaluable guidance to both employers and workers navigating the UK work visa process.
Finding the best applicants for our customers’ available positions is a top priority for our team of seasoned recruiters. We endeavor to identify the greatest talent available to fulfill our clients’ specific demands by closely collaborating with them to understand their needs. We also assist workers with the relocation process, providing support and guidance every step of the way.
So, if you need any assistance with the UK work visa process, please don’t hesitate to reach out to us at +44-7477196844 or email enquiry@dss-hr.co.uk.
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