The Impact of Brexit on Employment Regulations
The UK officially left the European Union (EU) on 1st January 2021, ending the transition period and subjecting British, as well as EU businesses, to new regulations on immigration, work visas and employment. As with any large shift in policy, Brexit has affected British businesses adding in new red tape, removing free trade and stifling recruitment, with staff shortages one of the main struggles being reported across scores of industries.
With international expertise, Leap29 can act as your recruitment and PEO partner, helping you to navigate these new regulations and continue to employ the top talent across the UK and EU. Read on to find out how.
Brexit Employment Laws
Brexit has provided UK businesses with the largest shift in regulations and employment laws in decades. As a busy, expanding business, keeping on top of new regulations brought in post-Brexit can be confusing, not to mention taking up ample time, staff and resources. A PEO can take the responsibility of deciphering new laws and regulations from your shoulders, ensuring compliance and swift responses to new legislation. This way you can allocate resources and staff to the places they are needed the most whilst complying with both UK and EU post-Brexit laws.
Recruitment and Employment Visas
Whether you have felt the pinch of staff shortages yourself or have seen reports, it is clear that recruitment has become quite a challenge after Brexit. Pre-Brexit, ‘freedom of movement’ meant that UK businesses could hire staff from all over the EU with relatively little restrictions. However, from the 1st January 2021 freedom of movement ceased between the UK and EU. Instead, UK businesses now need a sponsor’s licence to hire EU staff. Meanwhile, EU applicants will need to apply for a skilled worker visa to work in the UK. These visa stipulations can be costly, as well as difficult to navigate for both UK businesses and their prospective employees, hence resulting in talent shortages in the UK.
A PEO can overcome this challenge, helping you to source the relevant visas and licences so you can hire the top talent in Europe needed to grow your business. Once the initial onboarding process is complete, a global PEO can also manage payroll, tax, benefits and employer compliance – ensuring successful, compliant employment from recruitment to retention. If you have European nationals already working for your UK business a PEO can also ensure that their work permits are fully compliant, saving you from investigations and possible penalties.
European Expansion
Just as the end of free movement has provided staff shortages in the UK, it also adds strict regulations and red tape for businesses wanting to expand into Europe and hire employees in different EU countries. At Leap29, we have recruitment networks in both the UK and various countries within the EU, allowing us to hire and onboard staff on your behalf in the EU. What this means is that EU-based staff would not require UK visas while you, as a UK business, would not need to set up a legal entity in your country of expansion. Therefore, you can enjoy stress-free European expansion whilst remaining fully compliant with Brexit regulations.
With teams based in Europe and the UK, Leap29 are well placed to be the PEO partner that can take care of recruitment, employment laws and European expansion helping your business to thrive in a post-Brexit world without worrying about legal entities, employment visas and compliance. Find out more about our PEO services here, or contact our team on +44 (0) 1625 537 555 or at [email protected].
