Lisa Uttley, Immigration Partner at Gherson Solicitors highlights the challenges facing organisations in employing immigrants.
Since an increasing number of businesses have been hiring self-employed contractors or relying on gig economy models (usually but not always via digital platforms that link workers with short-term tasks, paid on a per-task basis), the Home Office has been focusing more sharply on employers’ obligations regarding immigration compliance. This article explores how HR practitioners can compliantly tap into a migrant workforce.
With the modern business environment rapidly evolving, employers must ensure that their recruitment processes are not only efficient but also fully compliant with current immigration rules. Recent changes to the Immigration Rules, implemented in April 2025, and the publication of the May 2025 White Paper have highlighted the importance of immigration compliance and correctly performed right to work checks for employers. As businesses are increasingly scrutinised, Gherson helps employers understand their obligations and to take necessary steps to minimise the risk of penalties and reputational damage. This is particularly important at a time when there is still uncertainty over how the future UK immigration landscape will look like in practice, as many details and exact policies of the Labour government’s May 2025 White Paper remain unclear.
The Need for a Migrant Workforce
With an aging population, the UK is not replacing their working population with the British youth. As boomers approach retirement, there just aren’t enough of their children and grandchildren to substitute their labour. Hence, the UK needs immigrant workers for there to be employment growth or even employment maintenance. Without such migration, economic growth in the UK would simply halt.
The need for migrant workers is not only true in the UK but also other parts of the global West, such as Canada and the USA. Here, immigrants dominate work in tough, low-paid sectors, like construction, agriculture, food preparation, hospitality and care.
The Risks of Non-Compliance
There is a range of severity when it comes to the consequences of non-compliance with immigration laws. Employers found guilty of hiring individuals without the right to work face civil penalties of up to £45,000 per illegal worker for a first breach and £60,000 per illegal worker for repeat breaches. In more serious cases, where the employer is found to have knowingly employed an illegal worker, the penalties can include criminal prosecution, which could result in a prison sentence of up to five years.
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Mark Sullivan, owner of Big Fry Fish & Chips was fined £40,000 by the Home Office for employing just one worker who lacked the correct immigration permission. Although the employee apparently provided legitimate documents, Sullivan stated that the recruitment was a ‘clerical error’ as the employee’s forged identity, which included a UK passport copy and National Insurance details, was not properly verified by examining original documents. This incident clearly signals the employer’s responsibility to conduct thorough right to work checks to prevent onerous financial penalties.
With a focus on high-risk sectors, the Home Office has been increasingly conducting audits and inspections of company records and documentation. Such audits and inspections may occur randomly and unannounced, and the consequences of inability to provide documentation or having failed to correctly execute right to work checks can be quite severe.
HR practitioners should not only be concerned with compliance for the sake of a business’ internal operations, but also to prevent damage to commercial reputation. Customers, clients, and employees reasonably expect legitimate companies to act responsibly. News of a business being fined or prosecuted for immigration violations can naturally result in loss of trust, harm to brand reputation, and negative publicity. Given today’s market of competitors, businesses can ill afford to suffer from such adversity.
Challenges Between Sectors
If you are using self-employed workers or temporary contractors, you need to be aware of additional complexities. Typically sectors such as construction, care, hospitality, and logistics are more likely to engage self-employed workers or gig economy contractors. Without formal hiring processes in place, these workers may be more difficult to track, and issues may be encountered in verifying their immigration status.
Both skilled and unskilled migrant workers are becoming increasingly essential to the UK labour market. The UK is witnessing shortages in roles like nurses, care workers, software developers, and construction trades. These roles are in particularly high demand and are critical in supporting the economy and maintaining public services. That said, it is just as critical that these workers are hired with a valid right to work, especially as PM Keir Starmer hopes for a more selective, controlled and fair immigration system.
The historic Shortage Occupation List (SOL) includes a wide range of occupations, with a specific focus on sectors in which demand for skilled workers is high. This included healthcare (doctors, nurses, medical practitioners, paramedics, and social workers), engineering and construction (civil/ mechanical/ electrical engineers) including skilled trades (electricians and bricklayers), technology (programmers, IT systems analysts, and data scientists) and certain creative roles (architects, designers, and specific creative roles within film and media).
The current Immigration Salary List (ISL) has replaced the SOL to focus on salary thresholds rather than just listing occupations in high demand. The purpose of this transition is to ensure that migrant workers are compensated closer to market rates.
Five Key Steps for Working Towards Legal Compliance When Utilising a Migrant Workforce
With immigration becoming increasingly policy-driven, employers should approach cross-border recruitment strategically. This would call for the forecasting of workforce needs, budgeting for sponsorship costs and ensuring that any recruitment aligns with genuine business requirements.
With early preparation that aligns your internal processes with up-to-date immigration laws, your business can avoid disruption, mitigate risks, and continue to benefit from global talent.
Employers should act proactively to be compliant with immigration laws. Here are some key steps to take:
1. Conduct thorough right to work checks
2. Keep detailed records
3. Stay updated on changes in immigration rules by checking the Home Office’s guidance on gov.uk
4. Provide training to HR and recruitment teams
5. Seek legal advice.
