Out-Law News 1 min. read

UK business groups concerned by proposals on EU citizens rights


Business groups in the UK have expressed concern over UK government proposals on EU citizens' rights in the UK after Brexit.

Tim Thomas, director of employment and skills at EEF, the manufacturers’ organisation said: "The frustrations felt by many employers will not be eased with the publication of the government’s migration offer."

"The proposed system seemingly requires two new sets of registration for EU nationals who want to live and work in Britain — one leading to permanent status and the other for a work permit," Thomas said.

"Employers need clarity and certainty well before the date we officially leave the EU and face a tipping point after which it becomes almost impossible to retain or attract employees from Europe. With most other EU countries already using a registration system, operating in a similar way to that proposed, now is the time to radically rethink our approach to Brexit enabling the UK to enjoy premium access to the single market and the EU workforce when we leave," Thomas said.

In a Commons statement this week, prime minister Theresa May proposed a new 'UK settled status' for EU citizens already living in the UK, if a similar deal can be reached with the EU for UK citizens abroad.

No EU citizen currently in the UK lawfully will be asked to leave at the point the UK leaves the EU, May said.

Any EU citizen in the UK with five years’ continuous residence at a specified cut-off date will be granted settled status. They will be treated as if they were UK citizens for healthcare, education, benefits and pensions. Any EU citizens with less than five years’ residence who have arrived before the specified cut-off date will be able to stay until they have the five years’ residence to apply for UK settled status, she said. The cut-off date has yet to be agreed.

A recent report by the EFF found that over three-quarters of UK manufacturers have at least one EU national working for them, and 64% say they recruit employees from Europe because they do not get enough suitable applicants from the UK.

The British Chambers of Commerce welcomed the government's plans but said they were "long overdue".

Director general Adam Marshall said: "This offer could have been made loudly and clearly nearly a year ago in the immediate aftermath of the referendum, which would have spared individuals, communities and employers significant angst and worry. Signals matter, and the UK government's lack of clarity until now has meant that many UK firms have lost valued members of staff, with others saying that key employees are thinking about leaving."

"The UK and EU must strive for an ironclad, reciprocal guarantee on citizens’ rights as soon as possible in the Brexit negotiations," Marshall said. 

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