Labour plans curbs on firms hiring foreign workers

Labour plans: In the event that Labour wins the election, businesses who reject its promises to train British workers may not be allowed to sponsor foreign employee visas.

Labour plans

Labour outlined its plan on Sunday to lower net migration by lowering the need for foreign labour.
The party promised to enhance training in the first four industries, which are IT, engineering, construction, and health and social care.
Labour would make it more difficult to hire foreign workers in those professions, according to more comprehensive plans reviewed by the BBC, if the industries don’t take “sufficient steps” to carry out workforce training.
Additionally, if a Labour government felt that a particular firm was not doing enough, it would have the authority to “refuse” to sponsor work permits for certain companies.
The relevant government department would create a “workforce plan” for each of the four industries mentioned.
These proposals would specify how Labour thinks businesses should train up staff in the United Kingdom and lessen their dependency on foreign labour.
Employment within a sector could be taken off the shortage occupation list if ministers felt that industry was not interacting with the strategy.
Individuals who hold positions on the shortage occupation list may apply for a skilled worker visa, allowing them to enter the country and work there.
Labour believes that if the jobs were taken off the list, the employers would have to “recruit locally.”
According to a party source, the idea would be “very flexible” and suggested that if broader industries are approved, there would be specific opt-ins for businesses that perform well.
The Construction Industry Council’s chief executive, Graham Watts, told the BBC that “putting arbitrary limits on skilled immigration” before workforce plans had time to fully mature may “stifle economic growth.”

Care providers ‘concern’

Although he cautioned that it “will not happen overnight,” he stated that initiatives to train up more British people will “mitigate the shortfall and ultimately provide growth.”
The chief executive of Care England, an organisation that represents care providers in England, Martin Green, expressed his “cause for concern” over Labour’s intention to have ministers make the majority of the decisions.
Although he praised the broader goal to increase training, he insisted that decisions about possible sanctions be made by an impartial authority.
The Migration Advisory Committee, an independent organisation that now exists and provides policy advice, would also be providing advice on these plans, according to a Labour party source.

In the months leading up to the election, Labour courted business support, with shadow chancellor Rachel Reeves meeting regularly with City officials.
This culminated earlier this month in a letter supporting the party signed by over 120 corporate voices.
There had been no prior indication of these preparations to potentially ban foreign visas, according to one individual involved in the planning of that charm effort.

Tory visa cap

In an interview with Laura Kuenssberg on Sunday, shadow home secretary Yvette Cooper stated that Labour desired to see “significant changes in place” throughout the economy in order to lessen dependency on foreign labour.
However, she noted that the Conservatives had “ended up being totally all over the place” when they had set a migration target, so the party would not do so either.
In addition, if the Conservatives win back power, they intend to lower the amount of foreign worker permits that are granted.
Under the Tory ideas, MPs would vote on an annual migration cap based on suggestions from the Migration Advisory Committee.
In an effort to break what it refers to as the nation’s “addiction” to cheap foreign labour, Reform UK has proposed raising taxes on businesses that hire foreign workers.
Businesses would now pay a lower 13.8% National Insurance rate for foreign workers, but under Reform’s proposal, that cost would rise to 20%.
The Liberal Democrats have promised to create a new, arms-length body to expeditiously and accurately handle applications, as well as to move authority over work visas, foreign students, and asylum from the Home Office to other departments.

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