The revocation of a UK Sponsor Licence can have serious consequences for your business, your employees, and even the local community. A recent example highlights the devastating impact of this decision. In November 2016, a care home in Docking, owned by Armscare Ltd, lost its Sponsor Licence, and as a result, nine workers were suddenly given 60 days to leave the UK, despite some having worked there legally for years. This left the care home struggling to find replacements for their vital staff, especially with the busy Christmas season approaching.
This case serves as a reminder of the importance of maintaining full compliance with Home Office regulations. Losing your Sponsor Licence can disrupt your operations and affect the livelihoods of your employees, particularly those from outside the EEA (European Economic Area). Here’s what you need to know to protect your business from such an outcome.
What Happens When a Sponsor Licence Is Revoked?
If your business’s Sponsor Licence is revoked, the impact can be immediate and severe. For starters, you won’t be able to reapply for a new Sponsor Licence for 12 months. Additionally, your sponsored workers will no longer have a valid sponsor, which could lead to the curtailment (or shortening) of their leave or worker authorization.
The Home Office typically:
- Curtails the leave of workers found to be complicit in the violation that led to the revocation.
- Gives 60 days for workers who were not involved in the issue to find a new sponsor.
Why Do Sponsor Licences Get Revoked?
The Home Office expects businesses with a Sponsor Licence to meet strict compliance requirements. Failing to meet these responsibilities could lead to your licence being downgraded, suspended, or revoked. Some of the key obligations for Sponsor Licence holders include:
- Monitoring immigration status: Ensure all employees’ immigration status is valid and that no illegal employment is taking place.
- Keeping accurate records: Maintain up-to-date contact details for sponsored workers and track their activities.
- Following UK employment laws: Ensure your business complies with UK immigration and employment laws, such as paying the minimum wage and having genuine job vacancies.
- Reporting changes: Notify the Home Office of any changes to your staff’s circumstances, such as job roles or personal details.
How to Prevent a Sponsor Licence Revocation
While the risks of losing your Sponsor Licence are serious, there are steps you can take to avoid this outcome and ensure your business remains compliant:
- Maintain up-to-date HR systems: Keep accurate records of your sponsored workers, including their visa details, qualifications, and job roles. Use reminders to track visa expiry dates and ensure all records are easily accessible.
- Conduct regular mock audits: Regularly review your HR systems and procedures. Having an independent immigration expert perform mock audits can help identify potential issues before they become major problems.
- Ensure transparency and completeness: Your records should be complete, transparent, and well-organized. Keep evidence of the Resident Labour Market Test and all supporting documents that show your workers are suitable for their roles.
- Invest in legal guidance: Having a legal expert who specializes in immigration law can help ensure that you’re meeting all the requirements for maintaining your Sponsor Licence. Regularly consulting with an immigration solicitor can prevent costly mistakes.
The Importance of Staying Compliant
By following these steps and ensuring your business is fully compliant with Home Office regulations, you can avoid the risk of Sponsor Licence revocation. A compliant business will:
- Retain its ability to sponsor skilled workers from outside the EEA.
- Protect its workforce and help its employees stay in the UK.
- Safeguard the business‘s growth and stability, ensuring continued service to clients and contributions to the local economy.
The revocation of a Sponsor Licence is a serious event that can disrupt your business and impact your workers. However, by investing in compliance measures, conducting regular audits, and seeking professional legal advice, you can protect your business and ensure it continues to thrive.
At Law and Visas, we specialize in helping businesses maintain their Sponsor Licences and stay compliant with UK immigration laws. If you’re concerned about your Sponsor Licence or need assistance with compliance, contact us today for expert advice and support.