When UK employers recruit international employees, a sponsor licence is more than a compliance requirement; it is an integral part of your ability to access global talent. This advantage comes at the expense of your ability to access global talent, as it imposes strict compliance obligations upon you as an employer. If Home Office officials believe that your business has not complied with the requirements of maintaining a valid sponsor licence, they will have the authority to suspend your sponsor licence until compliance is established. For your business to operate effectively, it is imperative to understand what the consequences of a suspension on sponsorship will be.
Defining Sponsorship Licence Suspension
A suspension of a sponsor licence is a temporary measure taken by the Home Office when they have some suspicions regarding the company’s compliance with the standards set forth by the immigration legislation. When the business is suspended, new Certificates of Sponsorship (CoS) cannot be issued for an employee to begin working under a sponsor licence. Any employees already being sponsored will continue to be employed during the suspension, although their ongoing employment will be subject to an ongoing investigation.
A suspension of a sponsorship licence is not an automatic or permanent action; it is a warning and second chance to comply with immigration law and regulations prior to the imposition of sanctions such as the forfeiture of the sponsor licence.
The Main Reasons Companies Are Suspended from Sponsorship
The primary reason for a suspension of a sponsor licence is that the company has not complied with the immigration law or the Home Office fees and penalties imposed as a result of the company’s failure to comply. There are numerous ways in which a company could have its sponsorship licence suspended, which can be traced back to the various types of compliance or non-compliance with the guidelines set forth by the Home Office.
In support of the sponsorship scheme, all employers must maintain accurate, up-to-date records of their sponsored employees, including contact details, immigration status, employment history, and any visa-related details. Having incomplete or out-of-date records significantly increases the level of compliance risk for sponsors.
Employers must conduct the appropriate right-to-work checks for their employees before providing employment, and failing to do so properly is one of the most common reasons for non-compliance. Small errors in maintaining the eligibility documents may also lead to greater scrutiny of the employer’s compliance with the law.
Employers have a duty to report specific changes that occur in the employment relationship to UKVI, including but not limited to:
- a) absences from work;
- b) changes to employee status; and
- c) termination of the employee’s contract. Failure to report changes within prescribed time limits can lead to a temporary suspension of a sponsor’s licence by UKVI.
If the Home Office is of the view that jobs are non-genuine or that jobs have been created primarily to confer a right to reside in the UK, the licence will likely be suspended.
Employers must comply with minimum salary thresholds and the job description must match the relevant visa requirements. If employers do not meet the minimum salary threshold (or have other breaches of employment terms or conditions), enforcement action can be taken against the employer.
When an employer does not have a proper HR system, or fails to have a system in place to monitor compliance, this often leads to repeated instances of non-compliance, and increased risk of suspension of the sponsor licence.
the areas of concern highlighted in the suspension letter to ensure you respond appropriately.
- Prepare a Thorough Response
Craft a detailed explanation to address the issues raised in the suspension letter. The response should include evidence to counter any allegations and demonstrate your commitment to compliance. Be sure to make it clear to the Home Office how you plan to rectify any problems that led to the suspension.
- Submit Your Response
Once your response has been prepared, it should be returned to the Home Office without delay. You will typically have 10 working days from the date of receiving the suspension letter to do this.
- Follow Up with the Home Office
After submitting your response, contact the Home Office to confirm receipt of your response and to inquire about the progress of your application for reinstatement. Follow-up may also be beneficial if it would add weight to your case for reinstatement.
- Seek Legal Advice
There may be reasons for appealing the decision made by the Home Office, and speaking to an experienced immigration solicitor may offer you valuable insight and guidance.
In conclusion, the above points should help you respond to the suspension of your sponsor licence. If you require further assistance or would like to discuss any aspect of the above, please do not hesitate to contact The Immigration and Nationality Office.
Frequently Asked Questions (FAQs)
1. How long does a sponsor licence suspension last?
A suspension typically lasts until the Home Office completes its investigation. This can take several weeks to a few months, depending on the complexity of the case.
2. Can sponsored employees continue working during suspension?
Yes, in most cases, existing sponsored employees can continue working. However, no new Certificates of Sponsorship can be issued during the suspension period.
3. What happens if my sponsor licence is revoked?
If your licence is revoked, all sponsored workers will usually have their visas curtailed, and they may need to find a new sponsor or leave the UK.