The Skilled Worker visa route allows UK employers to recruit overseas workers into eligible skilled roles. One of the most critical aspects of sponsorship under this route is meeting the correct salary requirements. Salary errors are a common cause of visa refusals, sponsor licence compliance issues, and enforcement action by the Home Office.
This blog explains how Skilled Worker salary thresholds operate, what employers must consider when setting pay, and where mistakes most frequently arise.
Understanding the Skilled Worker Salary Requirement
For a Skilled Worker visa to be approved, the sponsored role must meet both:
– The general salary threshold, and
– The occupation-specific going rate.
The salary paid must be at least the higher of these two figures. Employers must therefore assess salary requirements carefully for each sponsored role.
The general salary threshold is set by the Home Office and may change over time. Sponsors must ensure that the correct threshold in force on the date the Certificate of Sponsorship is assigned.
Occupation-Specific Going Rates
Each eligible occupation is assigned a Standard Occupational Classification (SOC) code. Each SOC code has a corresponding going rate, usually expressed as an annual salary based on a 37.5-hour working week. They must be pro-rated for other working patterns, based on the weekly working hours.
Common issues arise where:
– An incorrect SOC code is selected.
– The going rate is miscalculated for part-time roles.
– Salary is incorrectly pro-rated.
– Allowances are included incorrectly.
Only guaranteed gross pay may normally be counted towards the Skilled Worker salary requirement.
What Can and Cannot Be Included in Salary
Employers must ensure salary calculations strictly comply with the Immigration Rules.
Generally permitted:
– Basic gross salary.
– Guaranteed allowances paid on a regular basis.
Generally not permitted:
– One-off bonuses.
– Discretionary payments.
– Overtime (in most cases).
– Employer pension contributions.
– Reimbursement of expenses.
Reliance on non-qualifying payments is a frequent cause of Skilled Worker visa refusals.
Common Salary Calculation Errors
During compliance reviews and audits, the following salary-related errors are frequently identified:
– Applying outdated salary thresholds.
– Counting non-guaranteed allowances toward salary.
– Miscalculating pro-rated salaries for part-time roles.
– Assigning a Certificate of Sponsorship before salary checks are complete.
Early identification of these issues can significantly reduce the risk of refusal or enforcement action.
Salary Changes After Sponsorship
Changes to salary after sponsorship may trigger reporting and compliance obligations. Employers must consider:
– Whether the revised salary continues to meet the minimum threshold.
– Whether changes to duties require a new Certificate of Sponsorship.
– Whether a report must be submitted via the Sponsorship Management System (SMS).
Failure to report salary changes correctly may be treated as a breach of sponsor duties.
Part-Time Roles and Salary Thresholds
Skilled Worker sponsorship is permitted for part-time roles, provided that:
– The hourly rate meets the minimum requirement, and
– The total salary meets the pro-rated going rate.
Errors often arise where employers assume part-time roles are exempt from salary thresholds.
Impact of Salary Errors on Employers
Salary-related non-compliance can result in:
– Visa refusals or curtailment.
– Sponsor licence suspension or revocation.
– Reputational damage and potential civil penalties.
– Disruption to workforce planning and business operations.
The Home Office expects sponsors to understand and apply salary rules correctly at all times.
Managing Salary Compliance Effectively
To manage salary compliance risk, employers should:
– Review salary requirements before assigning a Certificate of Sponsorship.
– Ensure job descriptions, duties, and remuneration align.
– Conduct regular internal compliance checks.
– Seek advice before making changes to sponsored roles.
Early and regular review significantly reduces the risk of refusal or enforcement action.
Final Considerations
Salary compliance under the Skilled Worker route requires careful assessment and ongoing oversight. Employers who take a structured and informed approach are far better placed to maintain compliance and protect their sponsor licence.
This blog is for general informational purposes and does not amount to regulated immigration advice. Any immigration advice is provided exclusively by an authorised adviser at NFTech Legal.