Gerwyn Davies, Senior Labour Market Adviser, for the CIPD, said:

“Today’s recommendations will provide some mild, temporary relief for many employers concerned about the new immigration system. Many will be relieved to see that the lower minimum salary threshold of £25,600 does not include sectoral or regional variations. This would have added complexity to a system many already feel daunted by. In addition, the expansion of a new unsponsored route, together with other proposed temporary routes, such as the Youth Mobility Scheme, will ease the cost and administrative burden for some employers. On the downside, other employers will be disappointed that the MAC has not supported lower salary thresholds for shortage occupations, especially public sector employers who have less scope to raise wages in response to labour shortages.”

Davies adds:

“With this in mind, employers will be keen to see the temporary one-year visa extended to two years when the Government makes its final policy announcement in spring.  In the meantime, the important thing for employers is to get up to speed with the new system fast.”

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