UK: Employers to face penalties for misusing migration policies to hire foreign workers
Employers can no longer rely on foreign workers to fill skills gaps. Instead, they must invest in and develop domestic talent.
London: The UK government is tightening immigration policies to curb employers misusing visa programs to bypass domestic talent.
By enforcing stricter regulations, the government aims to stop companies from using migration as a shortcut to fill skills shortages, particularly in sectors like IT, telecommunications, and engineering.
UK Visas and Immigration (UKVI) will increase investigations into visa abuse, with penalties ranging from license suspensions to revocations.
“The time has come for employers to take responsibility and invest in the homegrown workforce rather than relying on foreign labour,” said Home Secretary Suella Braverman. This move emphasizes the need for businesses to develop local talent and reduce their reliance on international recruitment.
Migration Advisory Committee to oversee sectoral shifts
The government has assigned the Migration Advisory Committee (MAC) to monitor key sectors for skills shortages. This annual review will provide ministers with data to make more informed immigration policy decisions, ensuring that the labour market isn’t overly dependent on foreign workers.
The Home Secretary has tasked the MAC with a wider role, encouraging sectors to invest in training and workforce development.
A shift in strategy
The new measures are part of a broader strategy to align migration policies with labour market needs, integrating skills development into the heart of economic planning.
The Home Secretary’s initiative, which involves cooperation with Skills England and the Department for Work and Pensions, seeks to reduce net migration while addressing the UK’s ongoing skills shortages.
Rising salary thresholds to reduce foreign recruitment
In a bid to limit low-wage foreign labour, the government has already increased the minimum salary threshold for Skilled Worker visas.
As of April 2024, the threshold rose from £26,200 to £38,700. This significant increase is expected to reduce the number of employers able to bring in migrant workers, especially in sectors that have not traditionally offered competitive wages.
Long-term implications
By May 2025, the MAC is expected to deliver an evidence-based report on the impact of foreign worker recruitment on the UK’s skills landscape. This will guide future policies aimed at curbing net migration while encouraging sectors to address their skills shortages domestically.
As the UK recalibrates its immigration approach, the message is clear: employers will no longer be able to rely on foreign workers as a quick fix to skills gaps. Instead, they must invest in and nurture talent from within the UK workforce.