IMPACT – HIGH
What is the change? The allocated quota for Tier 2 Restricted Certificates of Sponsorship (RCoS) has been exhausted for June, the seventh consecutive month the quota has been reached.
What does the change mean? Requests for Tier 2 (General) Certificates of Sponsorship earning points below the minimum 60 and a salary of less than £60,000 per year have been rejected for the month of June, and employers will need to resubmit them in July.
Background: The annual quota for Tier 2 (General) visas is 20,700, allocated into monthly quotas. In 2016, the monthly distribution was changed to provide higher quotas during the high-demand months of April through September and lower quotas in other months, thereby shifting pressure on months at the end of the fiscal year (December through March). The exhaustion of quotas at the end of the fiscal year, however, has carried over into the new fiscal year. When the monthly quota is reached, applications are ranked by points obtained, with more points earned for shortage occupations, higher salaries, and certain Ph.D.-level roles. The trend requiring ever higher salaries to be successful within the cap has continued this month, while employers wait for the impact of the removal of NHS doctors and nurses from the cap to be felt.
BAL Analysis: As BAL has reported, the pressure on Tier 2 quotas is a long-term trend that continues to pose challenges for employers recruiting non-EU workers in a tight labor market. The quotas have been exceeded every month since December 2017, and as the excess applications roll over to the next month, a backlog has developed. The Home Office announcement earlier this month to remove NHS doctors and nurses from the Tier 2 caps has been met with approval by business, but it is not yet in effect and will potentially take time to ease the backlog. Companies that recruit higher earners will continue to be more likely to have their applications approved. Employers should consider salary as the deciding factor in the approval of an RCoS request and they should plan for all applicants on lower salaries to be delayed and potentially disqualified until, and if, the system returns to pre-December 2017 levels of use. While applications do roll over each month, this is only automatic while the advertising remains valid (typically six months). A more detailed risk assessment should be conducted for all roles prior to advertising.
This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact firstname.lastname@example.org.
Copyright © 2018 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact email@example.com.
Danish immigration authorities released new rules that update the work permit exemption policy for employees working within affiliated companies....
The Swiss government has set work permit quotas for 2024, leaving them unchanged for EU/EFTA, non-EU/EFTA and U.K. nationals. Quotas
Canadian officials announced that a dedicated humanitarian pathway to provide permanent residence to Colombian, Haitian and Venezuelan foreign...
The Indian High Commission in Ottawa has resumed the issuance of e-visas to Canadian tourists and business travelers. Key Points: