Home » Migrant salary threshold lowered
Business

Migrant salary threshold lowered

THE GOVERNMENT’s Migration Advisory Committee recommended lowering the minimum salary threshold for migrant workers to the UK to £25,600 in a report presented to the Home Secretary last week.
However, despite the report’s authors acknowledging the large regional variation in average salaries, it does not recommend any adjustments for lower-paid areas.
That decision potentially has interlocking effects. Firstly, in higher-paid urban areas in the south of England migrant labour will be cheaper than elsewhere. Secondly, skills shortages in sectors in which migrants work are likely to increase in the English regions and devolved countries where wages are on average lower than £25,600. The Committee said temporary workers should be admitted where shortages would adversely affect the economy.
Mike Cherry, National Chairman of the Federation of Small Businesses (FSB) said: “The recommendation to lower the proposed minimum salary threshold to £25,600 is a welcome, pro-business proposal, which would widen the scope for employing those beyond highly-paid professions.
“It is vital that the workers and skills needed for the UK’s economy to grow are not locked out by a future immigration system which is unresponsive to business needs.
“One in five small employers in the UK have at least one staff member from the EU.
“FSB research shows that four-in-five small employers that hire staff into jobs classed as mid-skilled do so into roles with salaries less than £30,000. This includes positions in sectors such as engineering and IT.
“The recommendation for a route to the UK without a job offer is also positive, but this must be open to mid-skilled workers and not restricted to highly-paid professionals. It should allow for smaller businesses across all regions, nations and sectors to recruit the people with the skills they need.
“It is pleasing to see that the committee has listened to FSB’s arguments for a salary threshold below £30,000, as well as an unsponsored route, which selects migrants based on their personal characteristics and allows for regional variation.
“The challenge now for the government will be to have a new, employer-responsive immigration system in place in time for the end of the transition period eleven months from now, and allowing sufficient time for small business employers to prepare. FSB looks forward to working with the government on this.”

Author