Sponsor Duties: A Guide to Record Keeping and Compliance
In This Article
1. Understanding Sponsorship Record-Keeping Obligations
Navigating the intricacies of sponsorship obligations can be a daunting task for businesses and organisations alike. Among the myriad of responsibilities, one duty stands out: record keeping. As a licensed sponsor, it is imperative to maintain meticulous documentation in compliance with regulations set out by the Home Office. Appendix D serves as a roadmap, outlining the specific documents to be retained and the duration for which they must be stored.
In this comprehensive guide, we delve into the depths of Appendix D, shedding light on its significance and unravelling the complexities of document retention for sponsored migrants. From Right to Work checks to evidence of recruitment, we explore the list of documents that must be kept and the length of time they must be retained by the sponsors, ensuring a thorough understanding of sponsor duties.
2. Individual Sponsored Worker Documentation
Prior to the sponsored worker commencing employment, Right to Work checks must be carried out. This is to ensure that you comply with your sponsor duty and to establish a ‘statutory excuse’ against liability for a civil penalty. Our recent article, Civil Penalties for Employing an Illegal Worker: How Employers Can Avoid Fines covers the new civil penalties charges and what will happen if an employer is found employing workers illegally.
- If you sponsor the worker for entry clearance, you must keep a copy of the worker’s current permission to demonstrate that they entered the UK during the validity of the visa.
There are additional documents and information that must be retained for sponsored workers if they are relevant:
- A copy of the worker’s NI number;
- History of the worker’s contact details;
- A copy of the worker’s Disclosure and Barring Service check, if applicable;
- A record of the worker’s absences;
- A copy of an Academic Technology Approval Scheme (ATAS) certificate, if applicable;
- A copy of the child performance licence from the local authority if a child below school-leaving age is being sponsored on the Creative Worker route to take part in films, plays, concerts or other public performances.
For sponsored workers on the Global Business Mobility – Service Supplier route, keep a copy of the contract awarded and either the tender document for that contract or evidence of how the contract was awarded if it was not formally tendered.
For the Global Business Mobility – Secondment Worker route, a copy of the agreement or contract for goods or investment to which you and the overseas business are parties must be retained. You must also keep evidence of how you were awarded the contract or a tender document for a contract for goods or evidence of how the contract was awarded if it was not formally tendered.
If the sponsored worker is a child under 18, a copy must be retained of the letter from the child’s parents or legal guardian or just one parent if that parent has sole responsibility.
3. Evidence of Recruitment for Sponsored Workers
You may be required to provide evidence of a formal resident labour market test before hiring a migrant worker in some routes. This can be a copy of the job advertisement placed or a screenshot of the website hosting the advertisement.
There are some routes where there is no formal resident labour market test but it is good practice to explain and provide evidence, if possible, to show how the sponsored migrant worker has been recruited. This will help to show that the vacancy is genuine.
4. Salary and Payment Records for Sponsored Workers
To show that the relevant salary threshold has been met for the sponsored job, payslips showing the name, NI number, tax code and any deductions made can be included as well as a copy of the employment contract. Evidence showing the amount and the frequency of payments (including any allowances) to the worker can also be added. If there are any other documents that are specified in the Immigration Rules, they can be included as evidence of salary.
5. Evidence of Skill and Qualifications
To demonstrate that the sponsored worker has the relevant skill level to undertake the role, the sponsor should check and keep any qualifications that the sponsored worker holds and a job description listing the duties and responsibilities of the job. A copy of any registration or professional accreditation documents required to carry out the role can be provided as evidence of the skill level.
For workers entering the UK under the entourage provisions of the Creative Worker route, details of their technical or specialist skills must be kept.
6. Retention Periods for Sponsored Worker Records
During the period of sponsorship, the documents relating to the migrant must be kept until either one year has passed from the date of the end of sponsorship of the migrant; or the date on which a compliance officer has examined and approved the documents if the examination date is less than one year after the end of sponsorship of the migrant.
Any documents submitted in support of the sponsor licence application should also be kept as long as you hold a sponsor licence. You can choose to keep the documents as paper copies or in an electronic format as long as they are available for inspection on request.
There may be some documents which must be kept for a longer period, such as to comply with legislation on preventing illegal working. This has been discussed in our article Right to Work Checks: Essential Updates for Employers where we highlighted the key updates for conducting Right to Work checks effectively.
7. Consequences of Non-Compliance
If you breach your sponsorship duties, the Home Office may take action against you. We have explained in our article Sponsor Duties in a New Enforcement Era: How to Stay Compliant that they could suspend your licence or revoke your licence.
The Home Office may conduct a compliance check to ensure that you are complying with your sponsor duties. They may inspect the records and/or systems to see if you have the records listed in Appendix D.
We have recently seen a rise in the number of compliance checks carried out by the Home Office. An immigration audit can be effective in preparing your business ready for a compliance check. We have published a post on Care Organisations and Sponsor Licence Compliance Issues setting out steps that can be taken to protect your care organisation from suspension and/or revocation.
8. Contact Our Immigration Barristers
For expert advice regarding managing your sponsor licence and compliance issues, contact our immigration barristers on 0203 617 9173 or complete our enquiry form below.
9. Frequently Asked Questions
What is the purpose of Appendix D for licensed sponsors?
Appendix D outlines the specific documents that licensed sponsors must retain and the duration for which they must be stored, helping sponsors comply with Home Office regulations.
What documents must be kept for each sponsored worker?
Sponsors must retain documents such as Right to Work checks, the worker’s permission to enter or stay, NI number, contact details, DBS check (if applicable), absences, relevant certificates (e.g., ATAS), child performance licences, and, where applicable, contracts or agreements for specific routes like Global Business Mobility.
What evidence should be retained regarding recruitment?
Sponsors should keep records such as job advertisements, screenshots of online postings, or other evidence showing how the sponsored worker was recruited to demonstrate the genuineness of the vacancy.
What documentation demonstrates salary compliance for sponsored workers?
Payslips, employment contracts, and records showing the amount and frequency of payments, including allowances, should be retained to demonstrate that the relevant salary thresholds have been met.
How should sponsors demonstrate the skill level of a sponsored worker?
Sponsors should retain copies of relevant qualifications, professional accreditation or registration documents, job descriptions, and, for Creative Worker entourage provisions, evidence of technical or specialist skills.
How long must records be retained?
Records relating to sponsored workers must be kept until one year after the end of sponsorship, or until a compliance officer has examined and approved them if that occurs sooner. Documents supporting the sponsor licence application must be kept as long as the licence is held.
What are the consequences of failing to retain required records?
The Home Office may take enforcement action, including suspending or revoking a sponsor licence, and may carry out compliance checks to inspect records and systems to ensure obligations are met.
Please note that the information provided in this article is for general guidance only and is based on the immigration rules and policies in force at the date of publication. Immigration law and Home Office policy can change frequently, and requirements may vary depending on individual circumstances. Legal advice should always be sought in relation to your specific situation.
