Employing skilled workers from abroad: A guide for UK businesses

2nd Jun 2025

Author: Mohammed Balal

If your business employs skilled workers from overseas, there are a number of key compliance steps that you must take to meet your legal responsibilities. Since the end of free movement and the introduction of the UK’s points-based immigration system, employers must navigate a more structured process when hiring non-UK nationals.

In this article, Employment Law specialist Mohammed Balal, provides an overview of the key employment law checks and procedures that businesses must follow to stay compliant and avoid the risk of fines, reputational harm or even the loss of your sponsor licence.

The points-based immigration system

The current immigration system allows UK employers to recruit skilled workers from abroad, provided they hold a valid sponsor licence issued by UK Visas & Immigration (UKVI). This licence enables you to issue Certificates of Sponsorship to candidates who qualify for the Skilled Worker visa.

The visa requires the individual to meet specific criteria, such as having a job offer in an eligible role, meeting a minimum salary threshold, and demonstrating a good level of English.

Your duty to check the right to work

Before any overseas employee begins work, you must carry out right to work checks. These checks confirm that the individual has permission to work in the UK and are a legal requirement for all employers. Failing to complete these checks correctly can lead to serious consequences. You can find full guidance on the required checks on the GOV.UK website or your Immigration service provider can assist.

There are two main ways to check a worker’s right to work:

1. Online checks via share code
   Most overseas workers will be able to provide a ‘share code’ and their date of birth. These details can be entered into the government’s online service to verify the individual’s immigration status, including their visa conditions and expiry date. It is essential that you also confirm the photo on the UKVI profile matches the individual.
2. Manual document checks
   Where online checks are not applicable, you can check physical documents such as passports or biometric residence permits. These documents must be reviewed in the presence of the individual and copies retained.

In either case, you should keep evidence of the completed checks, either by printing the document or saving an electronic version to your HR system.

Beyond these checks, it is also important to understand that the Home Office can carry out unannounced visits to assess whether your wider HR practices meet immigration and employment law standards. Being prepared for these compliance checks is just as crucial as getting the initial paperwork right.

When a check cannot be completed

In some situations, the online or manual checks may not be possible, for example, if the individual has submitted a visa extension or status application that is still pending. In these cases, you must contact the Home Office’s Employer Checking Service (ECS). If the individual has the right to work, you will be issued with a Positive Verification Notice, which remains valid for six months. A follow-up check must be carried out before the notice expires.

Additional pre-employment screening

Alongside immigration checks, we recommend employers also carry out standard pre-employment screening. This may include reference checks, verification of qualifications, and confirmation of previous employment history. These additional steps help protect your business and ensure a smooth onboarding process.

Staying prepared for Home Office compliance checks

As part of their enforcement activity, the Home Office conducts random compliance visits to businesses employing overseas nationals. These visits are designed to check not only whether your employees have the right to work in the UK but also whether your internal processes are aligned with legal requirements.

These checks look beyond documentation. The Home Office will want to see that your internal processes are aligned with current immigration and employment law. This includes verifying that the correct right to work checks have been carried out, that visas and work permits are valid and up to date, and that accurate records are kept for each employee, including signed contracts of employment.

Your staff handbook and internal policies also come under scrutiny. The Home Office will want to ensure that your onboarding processes are robust, and that your employees are aware of key policies such as absence reporting, holiday entitlement, health and safety and grievance procedures.

Therefore, a well-documented staff handbook is not just good practice, it is vital. It must clearly set out expectations and responsibilities, ensuring your workforce understands company policies and that these policies reflect up-to-date legal standards.

HR Audits and Ongoing Support

At Butcher & Barlow, our Employment Law Team can help you remain compliant and confident. Whether you are applying for a sponsor licence, onboarding your first overseas hire, or reviewing your internal processes, we are here to support your business every step of the way.

Our Team is dedicated to helping your business stay compliant with the ever-evolving landscape of employment law, particularly in the context of hiring skilled workers, whether they are from overseas or based in the UK.

We offer a comprehensive HR audit service that thoroughly reviews your recruitment processes, employment contracts and internal policies to ensure they meet Home Office requirements. By engaging with this service, your business will receive expert guidance on identifying and addressing any compliance gaps before a Home Office inspection.

Our HR Audit service provides practical, tailored support to help spot and fix any gaps in your current processes. This proactive approach protects your company from the risks of non-compliance, including potential fines, penalties, or the loss of your sponsorship licence, and promotes a culture of best practice within your HR processes.

Taking advantage of our HR audit service ensures that your business remains ready for scrutiny, reduces the likelihood of disruption to your recruitment, and safeguards your reputation as a compliant and responsible employer.

By having your internal systems audited, you can be confident that your business is fully prepared to handle random Home Office checks and avoid any legal or financial consequences associated with non-compliance.

For further advice, or to find out more about our HR Audit service, Mohammed can be contacted on 0161 764 4062 or emailed at mbalal@butcher-barlow.co.uk

 

 

 

The information in this article was correct at the time of publication. The information is for general guidance only. Laws and regulations may change, and the applicability of legal principles can vary based on individual circumstances. Therefore, this content should not be construed as legal advice. We recommend that you consult with a qualified legal professional to obtain advice tailored to your specific situation. For personalised guidance, please contact us directly.