Introduction

In a bid to limit the abuse of the Intra-Company Transfer (ICT) route and promote the employment of resident workers in the UK, the government has introduced new requirements for the ICT visa. One of the significant changes includes a restriction on the transfer of internal staff within a company. This article aims to discuss the new requirements and analyze how this limitation affects companies and their employees.

The ICT visa route allows multinational companies to transfer skilled employees from overseas offices to the UK branch. However, the route has been criticized for its abuse by companies that bring in cheap labor from overseas instead of hiring local workers. To address this, the UK government has introduced a new set of requirements that limit the use of the ICT visa route and prioritize the employment of resident workers.

What are the new requirements?

As of April 6, 2017, the government introduced new requirements that affect employers who sponsor overseas workers through the ICT visa route. Under the new rules, employers must ensure that the following conditions are met:

- The employee must have worked for the company for a minimum of 12 months before being transferred to the UK branch.

- The employee’s salary must be at least ￡41,500 per annum. In exceptional cases, the minimum salary may be reduced to ￡23,000 per annum.

- The visa will be valid for a maximum of five years for short-term staff and nine years for long-term staff.

- The ICT visa route will only be available for managers or specialists who are filling a genuine skills shortage and not as a means to transfer cheap labor to the UK.

Limitation on the transfer of internal staff

One of the most significant changes in the new requirements is the limitation on the transfer of internal staff within a company. Previously, companies were allowed to transfer staff from one overseas office to another and then to the UK branch without the employee having to meet the eligibility criteria for the ICT route. However, under the new rules, this practice will be restricted.

Employers will now have to show that the employee being transferred to the UK branch has been recruited to fill a genuine vacancy and that the position cannot be filled by a resident worker. The employee will also have to meet the eligibility criteria for the ICT route, including the minimum salary threshold and length of service with the company. This is a significant change in the rules that is aimed at preventing companies from abusing the ICT route by transferring internal staff who do not meet the eligibility criteria.

How does the limitation affect companies and their employees?

The limitation on the transfer of internal staff can have both positive and negative effects on companies and their employees. On the one hand, it ensures that the ICT route is not abused by companies to bring in cheap labor from overseas. This means that companies will have to fill positions with eligible candidates who meet the minimum salary threshold and have the required skills and experience. This can lead to a more significant investment in training and development of resident workers.

On the other hand, companies may find it more challenging to transfer internal staff who have the required skills and experience to their UK branch. This can limit the company’s ability to fill positions quickly and efficiently, which can lead to delays or additional costs. In addition, employees may find it harder to secure a position in the UK branch of their company, which can limit their career progression and opportunities.

Conclusion

In conclusion, the new requirements for the ICT visa route aim to limit the abuse of the system by companies and promote the employment of resident workers in the UK. The limitation on the transfer of internal staff is a significant change in the rules and can have both positive and negative effects on companies and their employees. Companies will need to carefully consider the eligibility criteria for the ICT route and invest in the development of their resident workforce to ensure they have the required skills and experience.