People Management has commented on a recent report by the Resolution Foundation that says that new immigration regulations are unlikely to have any major impact on the UK economy.
As firms in the UK are predicted to face significant hiring challenges throughout 2022, this matters as some industries will struggle to recruit and are likely to face “significant change”. This follows the introduction of a points-based immigration system last year, which the Resolution Foundation feel will do little to change the UK’s “low investment, low productivity challenges”.
The report goes on to say that the new points-based scheme was unlikely to have a detrimental impact on businesses and will only cause a “pinch” among sectors which are reliant on workers who are now ineligible to come to the UK for work under the new rules. This particularly applies to lower paying industries which may mean that they start to shrink.
Overall, the impact of the new migration regime will be small, but the claim that controlled migration was the key to a “new high wage economic strategy” has been “overdone”.
Some people therefore believe the organisations who wish to recruit and employ migrant workers will have to quickly overhaul their hiring practices and HR systems, as well as carrying out internal audits of existing employees to ensure they are compliant with the current migration rules.