Teni Shahiean is Interviewed by UGlobal and Gives a UK Immigration Solicitor’s Assessment of the Increase in the Minimum Salary Threshold for Skilled Workers
Teni Shahiean, senior partner and CEO at OTS Solicitors, was interviewed by UGlobal and asked for her views on the UK government‘s plan to substantially increase the minimum salary threshold for UK migrant workers.
For those of you unfamiliar with Uglobal.com, it offers information and analysis on global mobility with a particular focus on the global investment immigration market. It is a great resource for those interested in global business mobility as well as for Immigration Solicitors.
In this article, we look at the increase in the minimum salary threshold for work visas and report on Teni Shahiean‘s thoughts on the changes and how they will affect UK business owners.
UK Online and London-Based Immigration Solicitors and Sponsorship Licence Lawyers
To talk to Teni Shahiean about your business immigration law needs call OTS Solicitors on 0203 959 9123 or contact her online.
The changes to the minimum salary threshold for overseas workers
The government has announced that it will increase the minimum salary threshold for overseas workers to £38,700. Some overseas migrants who work in the UK will escape the problems created by the raising of the minimum salary threshold. For example:
- Health and Care Worker Visa applicants – but carers will not be able to bring family members with them on Dependant Visas
- Graduate Visa applicants – but as part of the immigration overhaul the government has said it will review the Graduate Visa. The visa currently allows international students in the UK on a Student Visa to remain after completion of some courses. There is no requirement to have secured a job and no job restrictions on the type of job or pay
- Student Visa applicants – international students are allowed to work part-time with no restrictions on the type of job they can do and no requirement to meet a minimum salary threshold for an overseas worker. However, visa conditions say a student’s work must be part-time. In addition, the immigration rule changes mean most international students cannot be accompanied by family members on Dependant Visas
The figures behind the changes to the minimum salary threshold
The intention behind the planned changes to the immigration rules is to reduce the UK net migration figure. There was a shock that the revised 2022 net UK migration figure totalled 745,000 people. The net provisional UK migration figure for 2023 comes in at 672,000 people. The overwhelming majority of these people are legal migrants who have used the post-Brexit points-based immigration system to secure UK entry clearance to live, work, study or join family members already living in the UK.
The Home Secretary James Cleverly, says the government‘s 5-point plan could reduce the UK net migration figure by as much as 300,000 people a year. Not all those 300,000 people will be overseas workers as the policies on reducing legal migration are also focussed on reducing Dependant Visa applications.
In UGlobal, Teni Shahiean is quoted as saying:
“The changes appear to be needed from a current political perspective but are not justified on an economic basis. It concerns me that the UK is changing the government‘s policy on legal migration without any clear evidence that the UK has analysed the net economic benefit of skilled legal migration.”
The impact of increasing the minimum salary threshold on UK employers
In Teni Shahiean’s opinion increasing the minimum salary threshold for the Skilled Worker Visa to £38,700 could have negative economic consequences.
In UGlobal, Teni Shahiean said:
“Increasing the minimum salary threshold for the Skilled Worker Visa to £38,700 a year is a massive step. It could spell financial problems for some UK business owners who cannot recruit the staff they need from within the UK and who may no longer be able to secure the staff they need from overseas.
“A salary of £38,700 is not considered average in the UK for many of the jobs eligible for the Skilled Worker Visa. Looking forward, that could result in price rises, inflationary pressures and job cuts.
“In my work, UK business owners tell me there is a complete mismatch between the available UK workers’ skills and the skilled jobs UK companies are recruiting to fill, hence the reliance on global talent through the Skilled Worker Visa and business visa routes.”
A country comparison – the UK and US
One of the benefits of being an Immigration Solicitor is that you get to see the best and worst global immigration policies. In Teni Shahiean‘s opinion, the planned changes to the UK points-based immigration system will not help it win the competition for global talent. It concerns her that the UK is reacting to the slogan of ‘stopping the boats’ by changing the government‘s policy on legal migration without any clear evidence that the UK has analysed the net economic benefit of skilled legal migration.
In comparison, the USA is a place where talent is attracted and has thriving healthcare, technology, construction and other sectors that welcome global talent. The US visa routes cater strongly for their migrant worker needs. This is something that the Business Immigration Lawyers at OTS Solicitors have experienced through our work with leading US Immigration Attorneys.
Looking forward to 2024
Despite her concerns, Teni Shahiean is not negative about the UK’s prospects in the global talent market as Business Immigration Solicitors are known for their positivity and problem-solving. We have had tough times before and at OTS Solicitors we believe that UK businesses will advocate for the skilled global talent they need.
With the planned rise in the minimum salary threshold for the Skilled Worker Visa, it is feared that some UK employers will need to make hard employment law choices about whether to retain their non-essential employees. The concern is these staff may be the very people that the UK government is keen to get into work and to keep working.
As specialist Sponsorship Licence lawyers, all OTS Solicitors can do is help sponsoring employers navigate the choppy waters that lie ahead for those reliant on the UK points-based immigration system to meet their recruitment needs.
UK Online and London-Based Immigration Solicitors and Sponsorship Licence Lawyers
To talk to Teni Shahiean about your business immigration law needs call OTS Solicitors on 0203 959 9123 or contact her online.
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