Maximum Civil Penalty Fine Increases from £10,000 to £20,000 from 16 May 2014

The Immigration (Employment of Adults Subject to Immigration Control) (Maximum Penalty) (Amendment) Order 2014 has been laid before Parliament and increases the maximum civil penalty for illegally employing an adult subject to immigration control from £10,000 to £20,000.

The above maximum civil penalty fine may be imposed by the Secretary of State under section 15(2) of the Immigration, Asylum and Nationality Act 2006 on an employer who acts contrary to that section in the employment of an adult subject to immigration control who does not have the right to work in the UK.

This is likely to mean an increase in Right to Work compliance audits by the Home Office. It is therefore crucial that all employers ensure their Right to Work checks processes are maintained at all times, in case the Home Office makes a visit.

Sponsors who hold a Tier 2 licence have an additional duty to ensure these Right to Work checks are in place in order to retain their sponsor licence. If they fail to do so, there is a real risk their licence may be downgraded to a ‘B-rating’ or, even worse, they could lose their licence. All of their sponsored migrants’ leave would be reduced to 60 calendar days. This will obviously have a negative impact on recruitment and companies’ current foreign national workforce.

Our Business Immigration Team offers compliance audits and HR Systems reviews to its clients. This has allowed a number of our clients to have their systems stringently checked, without the risk of losing their Sponsor Licence or incurring Penalties under the Prevention of Illegal Working laws. Given the penalty fine increases, it is more important than ever to make sure that you are ready when the Home Office arrives. 

If you would be interested in a mock compliance audit or would like to discuss your current Right to Work processes, please contact our Anita de Atouguia, partner and Head of the Business ImmigrationTeam).