Government urged to combat labour shortages

The IAS urged the government to make the immigration process far less complex so that businesses find it easier to take on foreign employees.

Small firms across the UK are suffering from a severe lack of skilled workers, with an estimated 500,000 vacancies existing due to a dearth of quality candidates.

Many businesses are also finding it hard to attract enough manual workers to work in sectors such as manufacturing and agriculture.

Some small firms have tried to recruit overseas staff, but the Home Office decided last year to charge employers £100 for every foreign worker employed in the UK, deterring many businesses from taking this option.

The IAS said that the plethora of immigration categories could be re-classified under three categories – permanent settlement, temporary purposes and work.

The advisory service said that the government’s main concern should not be the reasons for a migrant’s arrival, but what he or she can contribute towards UK businesses.

Keith Best, chief executive of the IAS, said that labour migration has become complicated with many different schemes.

“It is only an employer, not an employee, who can apply for a work permit for an individual which will be granted by Work Permits UK – part of the Home Office.

“That individual, however, with the work permit may well then be refused entry to the UK at the post overseas where is application is made by an entry clearance officer – also part of the Home Office.

“Two parts of the same department will give opposite decisions!

“The many different temporary schemes could be scrapped in favour of a new labour migration category that we have called a ‘provisional work permit’.

“That would enable an individual, not the prospective employer, to apply to come to the UK in search of work for six months.

“If work is found in that time and the individual continues to make an economic contribution then leave to remain can be extended,” he said.