Manufacturers warn of 'disastrous' impact of govt immigration plans
A leading manufacturing organisation has warned that the government’s proposed immigration caps will have a “disastrous” effect on the sector.
Analysis by Make UK, formerly the Engineering Employers’ Federation, found that the manufacturing workforce would be “left in tatters” if the Immigration White Paper become law, with 88% of skilled manufacturing employees failing to meet the new £30,000 salary threshold.
The White Paper, published in December, outlines what the country’s immigration policies will be once the UK has quit the European Union.
As well as ending free movement, the White Paper introduces a new skills-based system, with a minimum annual salary requirement of £30,000 for skilled migrants seeking five-year visas. Low skilled and unskilled migrants would not routinely be able to come to the UK, although as a “transitional measure”, 12-month visas would be available.
Home Secretary Sajid Javid called the White Paper the biggest shake up of immigration policy for 40 years.
But a number of sectors, including construction and healthcare, said the proposed policies could cause significant issues.
Make UK said the £30,000 cap would have “disastrous impacts on the manufacturing industry”. It argued three-quarters of manufacturers currently employ EU nationals in skilled roles such as engineering technicians, but most were paid below the threshold. The industry also relies on lower-skilled employees, such as machine operators; under the White Paper, they would no longer be able to stay in the UK beyond a maximum of 12 months followed by a 12-month cooling off period.
Tim Thomas, Make UK’s director of employment and skills policy, said: “There are a number of proposals within the White Paper than risk decimating the manufacturing workforce.
“We need government to urgently reconsider plans to introduce a salary threshold, as a minimum to reduce the rate and offer a phased approach to any salary threshold introduction, to allow businesses to adapt and train a different cohort of employees.
“We urge the government to take on board real evidence like ours, and stop proposing damaging policies that will have significant impacts on the UK economy.”