At the moment we are all scratching our heads about Brexit
In truth, because exit negotiations are going to take at least 2 years not much is going to change right this moment. What things will look like when the negotiations are complete is a different story…one that no one seems to be telling right now!
So here is what we do know…or what we can guess!
Employment law
Before Brexit
There are a few key laws that many of us have been fretting over since Brexit.
One of these is UK legislation against discrimination, which started in the 1970s and has culminated in the Equality Act 2010, which does indeed reference the European Equal Treatment Directive. Even so, the government will most likely keep the fundamentals of this Act the same.
A few other laws such as unfair dismissal, shared parental leave, and the minimum wage, have no European basis as they are UK laws. This means that these along with a few others, including right to strike, will not be seeing any changes as a result of Brexit.
After Brexit
So what is changing?
We know for definite that we will see the Supreme Court in the UK making final decisions on UK cases, other than ones specifically brought before the European Court of Human Rights. That is because regardless of Brexit, we are still a part of the Council of Europe which includes 47 other countries. The real question is, will we still be able to go to the European Court of Justice, as it no longer has jurisdiction? Only time will tell…
Otherwise, like we have already discussed, there are standalone UK laws that won’t change and European laws that have been incorporated into UK law that probably will.
Incorporated laws work through two means – primary legislation and secondary legislation. The former is an act of parliament, such as the Equality Act 2010. These will remain in force unless they are expressly repealed by parliament. The latter falls under the European Communities Act (ECA) 1972, such as Working Times Regulations, which could go once the ECA is removed.
Potentially, things like TUPE, laws around holiday, sick pay and leave, and agency workers regulations might be amended.
EAA workers
Before Brexit
EEA members are those coming from the EU, Iceland, Norway, Lichtenstein and Swiss nationals who have the freedom to move to the UK for three months.
They have full access to the labour market and can take any job. Once this initial three month period is up they must be self-sufficient, employed or self-employed, a student, or a jobseeker in order to stay in the UK.
If they stay for 5 years, some EEA nationals will qualify for permanent residence and after another year can become a British Citizen.
After Brexit
EEA nationals already in the UK or those who enter while we are still part of the EU for the next two years are entitled to the same freedom of movement and right to work as before.
At this point, it all depends on the exit negotiations and what our trade relationships are going to look like going forward.
We might negotiate for a similar trade model that it is a bit more restrictive, such as a cap on the number of migrants that are allowed to the UK. We might also decide to make our own immigration laws in relation to EEA nationals.
Immigration policy for EAA workers
Before Brexit
Skilled EAA national workers are able to come to the UK under the Tier 2 Category and there is no option for non-EEA migrants to move to the UK for low-skilled roles. The costs for hiring an EEA national are the same as a British citizen.
Nice and easy.
After Brexit–
Not so easy…
It is likely that we will move to a point based system, which could lead to many sad face emojis for employers who currently rely on talent from the EEA, as it means a big increase in hiring costs for sponsoring an individual for the five-year working visa.
To top it off, those costs will be going up to at least £7,000 thanks to the introduction of the Immigration Skills Charge in April 2017 and employers will also need to be registered sponsors, which will likely involve heavy duty record keeping and reporting rules.
For low skilled roles, we will likely see more schemes for employers to recruit low-skilled British Citizens.
The key message, for now, is to sit tight and start to think about what you might need in place by the time exit negotiations come into effect in two years. Have a chat with one of Reality HRs expert consultants and see how your business might be effected by Brexit and what potential safe guards we can put into place. Give us a call on 01256 328 428 or request a call back below: