Employing Foreign Workers in the UK

Introduction

Hiring foreign talent can significantly benefit your organisation, bringing diverse skills and perspectives to your workforce. However, as a UK employer, you must follow the complex immigration system carefully to comply with all legal requirements. Failure to do so can result in severe penalties, reputational damage, and business disruption.

At Davenport Solicitors, we understand the challenges employers face when hiring internationally. Our immigration specialists provide the expertise you need to manage foreign worker employment successfully.

Understanding Your Legal Obligations

When employing non-UK nationals, you must:

1.   Verify each employee’s right to work before employment begins
2.   Maintain proper documentation throughout the employment relationship
3.   Comply with the UK’s sponsor licence requirements when applicable
4.   Stay updated on changing immigration regulations
5.   Conduct appropriate follow-up checks for time-limited permissions

Right to Work Checks: A Step-by-Step Approach

For British and Irish Citizens

British and Irish citizens have an automatic right to work in the UK. However, you must still verify and document their status through appropriate checks.

For EU Citizens Post-Brexit

EU citizens who were UK residents before 31 December 2020 should have applied to the EU Settlement Scheme. They will have either:

1.   Settled status (permanent right to live and work in the UK)
2.   Pre-settled status (time-limited right to remain, which can lead to settled status)

For Non-UK/Non-EU Citizens

Workers from outside the UK/EU typically require a valid work visa. The most common visa categories include:

1.   Skilled Worker Visa – For qualified professionals in eligible occupations. Know more about Skilled Worker Visa
2.   Global Business Mobility – For overseas businesses establishing a presence in the UK. Learn more
3.   Scale-up Visa – Designed for fast-growing UK businesses. Learn moreaabout Scale-up Visa
4.   Temporary Worker Visas – For specific short-term opportunities
5.   International Sportsperson Visa – For professional athletes and coaches. Know more 

Conducting Compliant Right to Work Checks

Employers must:

1.   Obtain original documents or check digital status via the Home Office online service
2.   Check documents in the presence of the holder or via video call for digital checks
3.   Verify that documents appear genuine and relate to the person presenting them
4.   Make and retain clear copies of all documentation
5.   Record the date the check was conducted
6.   Schedule follow-up checks for employees with time-limited permission

Digital Checking Service

The Home Office’s online checking service allows employers to verify the status of:

1.   Those with biometric residence permits/cards
2.   EU citizens with settled or pre-settled status
3.   Those with an eVisa

The service provides real-time confirmation of work rights and helps ensure compliance.

Obtain a Sponsor Licence

When Do You Need a Sponsor Licence?

You must obtain a sponsor licence if you wish to employ workers who require visa sponsorship. This includes most non-UK residents seeking work in the UK.

Types of Sponsor Licences

1.   Worker Licence – For long-term employees (includes Skilled Workers, Minister of Religion, and International Sportsperson routes)
2.   Temporary Worker Licence – For shorter-term roles (includes Charity Workers, Creative Workers, and Seasonal Workers)

The Application Process

1.   Eligibility Assessment: Ensure your business is genuine and operating lawfully in the UK.
2.   Appoint key personnel to manage the sponsorship system.
3.   Demonstrate ability to meet compliance duties.
4.   Documentation Preparation: Business registration documents
5.   Financial records
6.   Evidence of premises
7.   Proof of appropriate systems for monitoring employees
8.   Application Submission: Complete online application
9.   Pay the appropriate fee (varies based on company size and licence type)
10.   Submit supporting documentation within five working days.
11.   Home Office Review: May include a compliance visit to your premises.
12.   Assessment of your HR systems and procedures
13.   Verification of genuine need for foreign workers
14.   Licence Issuance: If approved, typically valid for four years (subject to compliance)
15.   Enables you to issue Certificates of Sponsorship to qualifying workers

Reasons for Employing Foreign Workers

There are numerous strategic benefits to expanding your recruitment internationally:

1.   Access to specialised skills not readily available in the UK labour market
2.   Diverse perspectives that can drive innovation and problem-solving
3.   Enhanced ability to serve international clients and markets
4.   Cultural knowledge beneficial for international business expansion
5.   Addressing sector-specific skill shortages

The Skilled Worker Route

The Skilled Worker visa is the primary route for employing foreign talent in the long term.

Key Requirements

1.   Job must be at appropriate skill level (typically RQF Level 3 or above)
2.   Salary must meet the occupation’s general threshold and the ‘going rate’.
3.   The worker must have appropriate English language proficiency.
4.   The worker must meet financial requirements (unless you certify maintenance)

Benefits to Employers

1.   Ability to fill skilled positions with the best global talent
2.   Workers can stay for up to 5 years initially, with extended options.
3.   Path to settlement for workers, enhancing long-term retention
4.   Dependents can accompany the primary visa holder.

The Global Business Mobility Route

This route replaced several previous visa categories and caters to businesses with existing international operations.

Global Business Mobility Visa

This umbrella category includes multiple specific pathways for different business needs:

1.   Senior or Specialist Worker – For senior management or specialist employees transferring from an overseas linked business. Know more
2.   UK Expansion Worker – For senior managers establishing a UK presence. Know more
3.   Graduate Trainee – For recent graduates on a training programme. Learn more
4.   Service Supplier – For contractual service suppliers or self-employed professionals from countries with UK trade agreements. Know more

Graduate Trainee Visa

This visa allows multinational companies to transfer recent graduate employees to the UK through a structured graduate training programme.

1.   The graduate must have worked for the overseas business for at least 3 months.
2.   UK role must be part of a graduate training programme leading to a senior position.
3.   Visa granted for up to 12 months
4.   Lower salary threshold than other Global Business Mobility routes

Know more about UK Graduate Trainee Visa

The UK Expansion Worker Visa

This visa is specifically designed for senior managers or specialist employees coming to the UK to establish a new branch or subsidiary of an overseas business.

1.   Maximum stay of one year with the possibility of switching to another route
2.   Must be a senior manager or specialist employee with relevant experience
3.   Requires evidence of genuine plans to expand to the UK
4.   Businesses must have a UK ‘footprint’ such as business premises or registration with Companies House

Learn more about UK Expansion Worker Visa

UK Service Supplier Visa

This visa allows contractual service suppliers or self-employed professionals from countries with UK trade agreements to fulfil contracts with UK clients.

1.   The contract must have been awarded through a competitive tender or other process.
2.   The worker must have relevant qualifications and experience.
3.   Maximum stay of 6 months in any 12 months for most nationalities
4.   Only available for specific professional service sectors

Understand more about UK Service Supplier Visa

Consideration of Global Recruitment

When planning international recruitment, consider:

Strategic Planning

1.   Identify genuine skill gaps that cannot be filled locally
2.   Budget for increased recruitment and compliance costs
3.   Allow sufficient time for visa processing
4.   Develop a supportive onboarding process for international hires

Workforce Integration

1.   Consider cultural integration and support needs
2.   Provide relocation assistance where appropriate
3.   Ensure clear communication about visa conditions and responsibilities
4.   Develop knowledge transfer processes to maximise benefits

Brexit’s Impact on Hiring International Employees

Brexit fundamentally changed the UK’s immigration system, with significant implications for employers:

End of Free Movement

1.   EU citizens no longer have automatic right to work in the UK
2.   EU and non-EU nationals are now subject to the same immigration rules
3.   Pre-settled and settled status holders retain rights to work

Points-Based System

1.   Introduction of a comprehensive points-based immigration system
2.   Focus on attracting highly skilled workers
3.   Skill and salary thresholds apply to most work routes

Employer Responsibilities

1.   Need for sponsor licences to employ most EU nationals (post-2021)
2.   Increased importance of right-to-work checks
3.   Different verification processes for EU nationals depending on when they entered the UK

How Do Highly Skilled Workers Enter the UK?

Highly skilled workers have several immigration routes available:

Global Talent Visa

1.   For leaders or potential leaders in academia, research, arts and culture, or digital technology
2.   No sponsor required
3.   Flexible work conditions and path to settlement

High Potential Individual Visa

1.   For recent graduates of top global universities
2.   Two-year visa (three years for PhD graduates)
3.   No sponsor required
4.   Allows work, switching employers, and self-employment

Scale-up Visa

1.   For qualified individuals with a job offer from an eligible scale-up business
2.   Initial sponsored period followed by an unsponsored period
3.   Flexible employment options after the initial sponsored period

Innovation routes

1.   Start-up and Innovator visas for entrepreneurs
2.   Requires endorsement from an approved body
3.   Focus on innovative, viable and scalable business ideas

Ongoing Compliance: Your Sponsor Duties

Holding a sponsor licence brings significant responsibilities:

Record-Keeping Duties

Maintain accurate and accessible records for each sponsored worker, including:

1.   Copy of current passport/immigration status documents
2.   Contact details and UK residential address
3.   Attendance records and absence reports
4.   Evidence of required skill level and appropriate salary payments
5.   Up-to-date employment contracts

Reporting Duties

You must report certain events to the Home Office within 10 working days, including:

1.   If a sponsored worker doesn’t start their employment
2.   If they’re absent from work without permission for more than 10 consecutive days
3.   If their employment ends earlier than planned
4.   Significant changes to job role or salary
5.   Changes to your organisation’s structure or contact details

Compliance Monitoring

Implement robust systems to:

1.   Track visa expiry dates
2.   Schedule follow-up right-to-work checks
3.   Monitor changes to sponsored workers’ circumstances
4.   Stay informed about immigration rule changes
5.   Conduct regular internal audits

Civil Penalties: Understanding the Risks

What Constitutes Non-Compliance?

Employing someone without the right to work in the UK can result in civil penalties. This includes situations where:

1.   No right-to-work check was conducted.
2.   Checks were performed incorrectly or incompletely.
3.   You employed someone despite knowing they lacked permission to work
4.   You continued employing someone after their permission expired

Penalty Framework

The current civil penalty structure is severe:

1.   First breach: Up to £15,000 per illegal worker
2.   Repeated breaches: Up to £60,000 per illegal worker

These amounts were increased significantly in early 2024, reflecting the government’s tougher stance on immigration compliance.

Beyond Financial Penalties

Non-compliance can also lead to:

1.   Sponsor licence revocation – Preventing you from sponsoring any workers
2.   Criminal prosecution – For knowing the employment of illegal workers
3.   Business disruption – Due to the loss of key personnel
4.   Reputational damage – Affecting client and stakeholder relationships
5.   Director disqualification – In severe cases

Know more about Civil Penalty

Best Practices for Maintaining Compliance

Establish Robust Internal Processes

1.   Centralise responsibility – Designate specific individuals to oversee immigration compliance
2.   Create detailed checklists – Ensure consistency in document verification
3.   Implement calendar reminders – For visa expiry dates and required follow-up checks
4.   Conduct regular training – Keep relevant staff updated on immigration requirements

Regular Internal Audits

Periodically review your records and processes to:

1.   Identify documentation gaps
2.   Verify compliance with record-keeping duties
3.   Ensure all reporting obligations have been met
4.   Identify areas for process improvement

Address Potential Issues Proactively

If you discover compliance issues:

1.   Seek immediate legal advice
2.   Consider voluntary disclosure (which may mitigate penalties)
3.   Implement corrective measures promptly
4.   Document the steps taken to resolve the issue

How Davenport Solicitors Can Support Your Business

Our immigration law specialists provide comprehensive support for employers, including:

Strategic Guidance

1.   Assessment of your recruitment needs and eligibility for sponsorship
2.   Advice on alternative immigration routes when sponsorship isn’t optimal
3.   Development of compliant HR processes and systems

Practical Support

1.   Complete management of sponsor licence applications
2.   Assistance with Certificate of Sponsorship allocations
3.   Support with individual visa applications for prospective employees
4.   Regular compliance audits and recommendations

Crisis Management

1.   Representation in civil penalty appeals
2.   Support during Home Office investigations
3.   Remediation planning and implementation
4.   Licence reinstatement applications

Contact Davenport Solicitors for Expert Support

Managing UK immigration requirements for employers demands expertise and attention to detail. At Davenport Solicitors, we provide tailored advice to ensure your business remains compliant while accessing the international talent you need.

Contact our specialist employment immigration team today to discuss your specific requirements.

Frequently Asked Questions

1. What’s the difference between right-to-work checks and sponsorship?
   Right-to-work checks are mandatory for all employees regardless of nationality. Sponsorship is required for specific visa categories, and the employer must actively support the visa application. 
2. How quickly can we obtain a sponsor licence?
   Standard processing typically takes 8-10 weeks, though priority services can reduce this to 10 working days for an additional fee. 
3. Can we sponsor any role?
   No. Roles must generally meet minimum skill and salary requirements. Skilled Worker visas typically require jobs at RQF Level 3 or above with appropriate salary thresholds. 
4. What happens if an employee’s visa status changes during employment?
   You must conduct a follow-up right-to-work check and report specific changes to the Home Office if you’re their sponsor. Employment may continue only if they maintain a valid right to work. 
5. How do we verify remote workers’ right to work?
   For digital checks, you can verify identity via video call. For document checks, you can use the services of a registered Identity Service Provider.